Trying to time real estate for an upcoming recession can be tricky. However, it is not impossible to do. There are a large number of regions that are primed for rapid growth. You can apply the rules of the past to speculate on the upcoming future.
The Bay Area Real Estate Market
Foremost among these regions is the Bay Area in California. Homes that bounced back the fastest in the aftermath of the 2008 depression were those in the Bay Area. Northern California is one of the best places to buy real estate, in terms of post-recession recovery. San Jose is especially noteworthy. The speed of its recovery was superior to most other cities in the country. Three out of four top cities for growth, after the last collapse, were from the Bay Area: San Jose, Oakland, and San Francisco. According to Mercury News, home prices in San Jose have appreciated by 122% since 2012. If you bought a home in the Bay Area in 2012, you would have doubled your investment.
Other Prominent Markets
Nevada is another healthy choice, as it is one of the best property markets around. Las Vegas has proven to be very robust. Its prices have increased by 114% since 2012, according to the Mercury News source.
Learn to Love the Recession
There is little doubt among real estate specialists that we are due for a recession. The last major collapse began over 11 years ago. Since then, we have seen major growth, especially in the tech and retail sectors. Remember that most millionaires make their money in a recession. Their formula is simple. Buy when high, sell when low. You can also adopt the same mindset.
Indeed, there are many good markets, aside from the Bay Area and Las Vegas. However, homebuyers will need to prepare themselves to outlast the next recession. You can try to see which regions will experience rapid growth after recession periods.
