Impending Recession and Selling Our Condo

[Anonymous]

Hi gang. We have been planning on selling our condo by the end of next year (centrally located 2 br) but I'm curious if you all think we should move that timeline up? I have been thinking for a while now that a recession was certainly in the mail, just not knowing when it would hit. Now that people are freaking out and this admin's incompetence is taking root, would it be better to sell asap before the writing on the wall becomes clearer? We are looking for a larger rental within a mile or two while we save for a larger house over the next few years. We are a family of 4 and we outgrew our place a while ago. Thanks for any insight.

[Anonymous]

At this point, you’ve missed your chance.

[Anonymous]

Anonymous wrote:At this point, you’ve missed your chance.

Even if I can get it on the market by October?

[Anonymous]

Trump will drop rates to avoid issues in housing

[Anonymous]

Eh there is no predicting the housing market. I wouldn't change your plans. If your condo is located close in, even if a recession does hit, the price won't drop.

[Anonymous]

As we've seen time and time again. The beltway is immune to recession.

[Anonymous]

A recession is still not certain. Even if there is one, it is likely to be shallow. If you sell this year, given low ams declining interest rates, you would probably be OK. A year from now it may be a while different scenario.

[Anonymous]

Anonymous wrote:As we've seen time and time again. The beltway is immune to recession.

No, it's not. I picked up my house at a huge bargain in 2009.

[Anonymous]

Anonymous wrote:As we've seen time and time again. The beltway is immune to recession.

famous last words

[Anonymous]

Anonymous wrote:

Anonymous wrote:As we've seen time and time again. The beltway is immune to recession.

No, it's not. I picked up my house at a huge bargain in 2009.

Maybe you did. But statistically, most areas inside the Beltway suffered minimally from the 2009 recession.

OP, someone on another thread pointed out humans have short memories and in this case many people only remember the 2009 recession when they think of recessions. That was an extremely bad recession for a variety of reasons, but most recessions are far less painful and last less longer. The current underlying economics suggest if there is a recession it will be short lived and barely noticeable for many people and will be forgotten in a year or so. Panicking is not a sensible solution. You're more likely to lose money trying to prepare for an elusive recession than to stick it out and weather it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:As we've seen time and time again. The beltway is immune to recession.

No, it's not. I picked up my house at a huge bargain in 2009.

Maybe you did. But statistically, most areas inside the Beltway suffered minimally from the 2009 recession.

OP, someone on another thread pointed out humans have short memories and in this case many people only remember the 2009 recession when they think of recessions. That was an extremely bad recession for a variety of reasons, but most recessions are far less painful and last less longer. The current underlying economics suggest if there is a recession it will be short lived and barely noticeable for many people and will be forgotten in a year or so. Panicking is not a sensible solution. You're more likely to lose money trying to prepare for an elusive recession than to stick it out and weather it.

Prices were in absolute free fall for about six months even in the beltway, there was just very low volume because buyers were scared away and loans froze up. As soon as it was clear the Fed would bail out at any cost, then prices bounced back up in markets that had less fraud which included DC.

It's clear to me at least that prices in the DC area are over heated especially if Trump is re-elected (b/c non-deduction of SALT may be made permanent; of the D's Biden is the only one who would try to re-instate it). I think your downside risk here is limited to 10-15% so not exactly the end of the world. If you want to stay for a couple decades it will amortize away.

[Anonymous]

Thanks all. We need out of our place within 12 months anyway. Think I was just freaking out prematurely. I can’t be stuck in my place an extra year.

Any idea what something like impeachment does to the economy? I know zilch about economics (once) and it seems like the instability would be bad, but since Trump is the root cause of our woes, would it be good?

[Anonymous]

Anonymous wrote:Thanks all. We need out of our place within 12 months anyway. Think I was just freaking out prematurely. I can’t be stuck in my place an extra year.

Any idea what something like impeachment does to the economy? I know zilch about economics (once) and it seems like the instability would be bad, but since Trump is the root cause of our woes, would it be good?

If you have to be out within 12 months anyway then I would rush the condo to market asap.

Any instability is bad for the market.

[Anonymous]

In 2009, in this area there were still bidding wars. I'd be more concerned because of how many condos there are and new ones built.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Thanks all. We need out of our place within 12 months anyway. Think I was just freaking out prematurely. I can’t be stuck in my place an extra year.

Any idea what something like impeachment does to the economy? I know zilch about economics (once) and it seems like the instability would be bad, but since Trump is the root cause of our woes, would it be good?

If you have to be out within 12 months anyway then I would rush the condo to market asap.

Any instability is bad for the market.

This is my concern. Election hits Nov-2020. It's a good market now in the area, at least in MoCo. I'd say if you don't sell your property by Jan-Mar/2020, wait it out until after the election, possibly.