Most Experts Not Worried About Recession in South Jersey
Homebuyers across South Jersey are watching the economy closely. It makes perfect sense. Buying a home ranks as one of life’s biggest purchases. Recent recession talk in the news has made many potential buyers question their plans.
The latest LendingTree survey found almost 2 in 3 Americans believe a recession is coming. About 74% say economic worries affect their financial choices.
Here’s some good news for buyers in Mount Royal, Marlton, and throughout our region: the experts aren’t nearly as concerned.
Most People Expect a Recession, But Experts Disagree
According to an October report from the Wall Street Journal (WSJ), only 1 in 3 economists surveyed think we might face a recession in the next 12 months (see graph below):
If economic experts aren’t overly worried, should you be? We’re not in a recession now. There’s no guarantee we’re heading into one.
What we have is uncertainty. The best way to handle that is with facts, not fear. Get the information you need to make smart choices about buying in Moorestown, Mullica Hill, or elsewhere in our market.
Tips for Buying a South Jersey Home During Economic Uncertainty
Here’s our best advice for local buyers. Keep an eye on economic trends, but don’t let them overshadow your real-life needs. Economic shifts come and go. The reasons people buy homes rarely change. Danielle Hale, Chief Economist at Realtor.com, explains:
“Well-prepared buyers who have been waiting on the sidelines are likely motivated by personal and lifestyle needs like growing families, new jobs, or retirement. And these considerations can outweigh short-term economic uncertainties . . . “
Timing your move around real life needs matters more than reacting to news cycles.
If you’re buying in this market, job stability matters tremendously. You need confidence in your income. You should know you can manage your mortgage payments comfortably, even if your situation changes.
If your job feels secure and you’ve built savings, local experts say you don’t necessarily need to delay. Just keep these tips from economists at Redfin in mind:
- Set a budget and stick to it: Don’t overextend. Make sure your payments stay affordable and your savings can cover surprises. Remember to factor in rising costs like home insurance and taxes.
- Negotiate: There are more homes for sale right now in many South Jersey towns. Other buyers might pull back due to economic fears. This gives you more power when working with sellers. Use this advantage to get better terms.
- Be strategic about payments and mortgage rates: Talk with local lenders about affordable payments and current rates. Also discuss your options if rates decrease later on.
- Consider selling before you buy: If you already own a home in the region, selling first can reduce financial pressure. It also helps clarify your budget for your next purchase.
Nothing replaces having a trusted team, especially in our diverse market. As Bankrate points out:
“Buying a home during a recession can sometimes be a good idea – but only for people who are lucky enough to remain financially stable . . . Be sure to enlist the help of an experienced local real estate agent. Not only do agents know their markets well, they will also work to get you the best deal in any given situation, including a recession.”
Bottom Line
Most Americans think a recession is coming. Most experts don’t share this view.
You don’t need to put your plans on hold. If your finances look solid, your job remains stable, and you need to move, South Jersey offers many opportunities. Our market tends to stay more stable than places like Florida or California.
What’s holding you back from buying in South Jersey? Let’s talk through your concerns together.
