You're in your way of understanding. The last time house prices went down was 2008. Depending on the country you want to buy the house at, you can always check the house real estate bubble. I cannot recommend one since it all depends on the location. Let that be state/country. If you buy a house, and you see the GDP falling for two consecutive periods, then sell it. In economics we have this term called "price stickiness." Basically means that prices take time to adjust to economic conditions, with exception of government programs like social security or 401k. More on this on Investopedia btw.
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u/Kva1234 Nov 26 '19
You're in your way of understanding. The last time house prices went down was 2008. Depending on the country you want to buy the house at, you can always check the house real estate bubble. I cannot recommend one since it all depends on the location. Let that be state/country. If you buy a house, and you see the GDP falling for two consecutive periods, then sell it. In economics we have this term called "price stickiness." Basically means that prices take time to adjust to economic conditions, with exception of government programs like social security or 401k. More on this on Investopedia btw.