Lately, the word recession has been making its way into a lot of headlines. And if you’re considering buying or selling a home in Winona, MN, it’s natural to wonder what that could mean for the local housing market.

Let’s break it down using historical data — and what it may signal for buyers and sellers right here in our community.

Do Home Prices Fall During a Recession?

It’s a common fear: recession equals housing crash. But that’s not typically the case.

In fact, in 4 of the last 6 U.S. recessions, home prices actually went up — not down. The 2008 crash was the exception due to a very specific lending crisis, not the rule. Since then, housing has shown resilience even in economic slowdowns.

For the Winona MN real estate market, that’s encouraging news. Local home prices tend to follow regional trends — and so far, prices in our area remain stable with moderate growth.

What About Mortgage Rates?

Here’s where a potential recession could work in buyers’ favor. Historically, mortgage rates tend to fall during recessions. That could mean increased affordability — even if rates don’t dip back to the historic lows we saw a few years ago.

Lower rates often bring more buyers into the market, which can help keep demand (and values) steady for sellers.

What This Means for You in Winona, MN

If you’re navigating the Winona MN real estate market, here’s what to keep in mind:

  • Buyers: Keep an eye on interest rates. A dip could open up new opportunities and increase your buying power.
  • Sellers: Don’t panic. History shows that a recession doesn’t automatically mean a drop in home values — especially in strong, community-rooted markets like ours.

Let’s Talk About Your Goals

Whether you’re buying your first home, selling a longtime property, or just curious what all this means for your future — we’re here to help.

As experienced Winona MN realtors, we can guide you through the noise and help you make smart, informed decisions in any market.

Contact us today to start the conversation.
info@TheLoosTeam.com
www.TheLoosTeam.com/contact-us
507-450-6964