What are the chances of a recession in 2020?

Dated: 09/06/2019

Views: 150

In the past 23 years, there have been two national recessions – the dot-com crash in 2001 and the Great Debacle or recession (interest-only loans were offered to subprime borrowers. These high-risk people are most likely to default on a loan. The banks offered them low interest rates.  But this “too-good-to-be-true” loan type resets to a much higher rate after a certain period. Home prices fell at the same time interest rates reset. Their defaults caused the subprime mortgage crisis) in 2008!

No one can accurately predict when the next recession will occur, but expecting one could possibly take place in the next 18-24 months is understandable. It is, however, important to realize that the impact of a recession on the housing market will in no way resemble 2008.

You can watch below about the TRUTH of our next recession!

Ray Dalio told Bloomberg he sees a 25% chance of economic recession in the rest of the year and through 2020, and that central banks can only do so much to avert it.

Dalio — who founded Bridgewater Associates, the world's largest hedge fund — listed four separate factors that he believes will affect the severity of the next economic downturn. 

The factors are:

  • Effectiveness of central-bank policies
  • The wealth gap, which will affect how the next recession will look "socially, politically, and so on"
  • The 2020 elections, which he called "an issue between capitalists and socialists, or the rich and the poor"
  • The emergence of China in relation to the US

Most experts, however, believe if there is a recession, it will not resemble 2008. This housing market is in no way the same as it was just over a decade ago. You can listen to my podcast below, "The Truth About the Coming Recession".

Want a FREE copy of my book " Inside Secrets" (Click here) 

Blog author image

Kenneth Manesse

Helping you experience something new in Las Vegas that's guaranteed. Real Estate with less stress!....

Latest Blog Posts

Trusting Your Real Estate Agent?

Buying a home in Las Vegas can be a daunting task, but a good real estate agent can be incredibly valuable –especially as it relates to finding the right home and helping to negotiate price.

Read More

Shopping for a perfect night’s sleep in your new home?

You’ve got more options than ever when mattress shopping these days with no shortage of brick-and-mortar and online-only retailers to choose from. Here are the factors you should consider when

Read More

How to Plan for Organic Food on a Budget

Organic food usually tastes better, and is better for you, but it can also be very expensive compared to non-organic products. Organic food can cost nearly 50% more, thanks to the extra labor

Read More

Is Las Vegas in a Sellers Market for September 2020?

Home sales continue to outstrip supply and the Las Vegas Market has been moving higher for several weeks. This is a Seller’s market so watch for upward pricing pressure in the near future if

Read More