If you and/or your clients are worried that our currently rosy economy may turn grey, you and/or your clients are not alone. According to a recent study done by Duke University, 50% of CEOs among the nation’s top companies expect a recession by the end of this year and 82% of them think a slump will hit by the end of 2020.

Any such scenario has potentially deep implications for real estate. However, certain spots in the country may feel a softer bite from an economic downturn than others.

Livability.com found seven cities where the worst effects of any potential recession would be less. Livability used median home prices from Zillow and local unemployment rates from the US Bureau of Labor Statistics. Here are Livability’s seven:

  1. Lincoln NB – median home price of $244,900 and unemployment rate of 2.3%
    1. Lincoln never had a housing boom so its housing market didn’t have far to fall during the Great Recession.
    2. During the Great Recession, its unemployment rate was no higher than 4.7% due to job insulation provided by the University of Nebraska-Lincoln and in state government jobs.
    3. Lincoln tops Livability’s list of up and coming tech hot spots in the country.
  2. Wichita KS – median home price of $169,700 and unemployment rate of 3.4%, its lowest rate since May 1999
    1. Job growth is forecasted to be positive and steady with an anticipated 2,700 new jobs over this year and next.
    2. Real estate is affordable.
    3. The cost of living is almost -14% below the national average.
  3. Fargo ND – median home price of $244,945 and unemployment rate of 2.3%
    1. The state had a 3.4% unemployment rate during the Great Recession thanks to its agriculture industry and oil reserves.
    2. Fargo was ranked on Livability’s 2018 Top 100 Best Places to Live
    3. Fargo alone, home to Microsoft and Case New Holland, generated $15.35B to its state economy in 2015.
  4. Victoria TX – median home price of $188,250 and unemployment rate of 3.6%
    1. Sitting between Houston and Corpus Christi just 60 miles from the Gulf Coast, the city hosts the Caterpillar excavator plant, Formosa Plastics, Du Pont and polymer and fiber producer Invista.
    2. Land is aplenty, inexpensive and state income taxes are most friendly.
  5. Knoxville TN – median home price of $234,900 and unemployment rate of 2.8%
    1. Knoxville earned a spot on Forbe’s List of Most Recession-Resistant Cities for Real Estate.
    2. The city got the 8th spot on Livability’s Top Best Places to Live
    3. There was never a housing explosion or crash and, according to Zillow, home prices rise slowly and steadily in Knoxville.
  6. Tulsa OK – median home price of $173,000 and unemployment rate of 3.0%
    1. No housing boom or bust in Tulsa.
    2. Land in the state is plentiful and affordable.
    3. Its economy is afloat due to agriculture and energy industries.
    4. Livability named Tulsa as “an underrated gem” in 2018.
  7. Des Moines IA – median home price of $139,000 and unemployment rate of 2.4%
    1. According to a Pew Charitable Trusts study, the state’s annual budget volatility is lower than the average and the budget itself has more reserves than most other states.
    2. According to Livability, Des Moines is the fastest growing city in the Midwest.
    3. The city is nicknamed the “Hartford (CT) of the West” due to its large insurance industry.
    4. Des Moines is one of Livability’s up and coming tech hot spots.

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