Recession? How Bad For How Long?

[FL-JOE]

No one can predict how long this virus will last and/or how a future rebound of it will spread and effect our country. We are certainly going to go through a recession but for how long and how severe? Will property values plummet, will there be tons foreclosures on homes again? What will the RV industry look like in 2021 and beyond?

Medically I think our country will be able to keep the fatalities well below any other county as a result of this virus. We will probably have several treatment options in the coming months plus a vaccine to help prevent future breakouts by the beginning of 2021.

 

[sheridany]

Being an active real estate investor, we have already seen prices drop 100-200k in a week on single family homes in Southern California which have been overpriced for a long time. I expect prices to drop to some level and hopefully stabilize as a result of recessionary times. I also think banks learned their lesson in 2008 and are more conservative in managing their credit risk policies and we should not see an extraordinary amount of foreclosures like we saw in 2008 where a myriad of factors contributed to the implosion. Obviously this is predicated on how long this shutdown last and people are not able to work depending on their industry In order to pay their mortgages. Hopefully the rv industry companies that are well capitalized with good survival plans in place will weather this economic turbulent period but I expect some fallout. A lot again really depends on the virus and containing the spread and getting the economic engine going again. Time will tell.