Mortgage rates are creeping closer to 6% as the U.S. economy enters into a recession, but according to Realtor.com, that’s not enough to stop some house hunters from finding their forever homes. In a new survey by Realtor.com, 46% of respondents said that they are planning to purchase a home within the next six months, and 42% said a recession would have “no effect” on their decision to buy a home.
Though housing costs are on the rise, the market could soon tip in buyers’ favor, especially if a recession cools home price growth and further reduces buyer competition. As a result, 27% of survey respondents said that they are actually more likely to buy amid a recession.
The data from the survey show that “some home shoppers are finding silver linings in the form of cooling competition,” Danielle Hale, chief economist at Realtor.com, said in a statement.
There are emerging signs of the market tipping in buyers’ favor: Fewer buyers are being outbid, dropping from a peak in April of 12.6% reporting that they were beaten out, to 9.4% in July.
“The share of buyers who report being overbid on a home has decreased as the market has begun to correct itself,” Realtor.com said.