As this year ends and 2022 begins 70% of economists are expecting a recession next year. Due to inflation, higher interest rate, layoffs, and higher food prices that resulted in the war in Ukraine everyone is feeling the pinch. As we move into next year here are a few things to expect:
Higher interest rates - are expected to increase at least another two percent
Continued increase in food cost - as the war in Ukraine continues food prices will continue to soar
Limitation in bank lending - as the economy goes through challenges banks will be reluctant to loan out money due to people having very little resources to pay the loan back or at all. Because of this few banks will be approving loan applications specifically for the purchase of a new home
Home values - the market value of your home will decrease as the economy goes through changes. The bright side is it is now a buyers market. As home prices decrease and fewer people can afford to purchase a home since banks are not lending as much. If you are looking to buy the next few years will be a great time to purchase.
If you are already filling the pinch of the recession and you need to file bankruptcy please schedule an appointment with us here at Hishaw Law LLC. We are experienced in handling Chapter 7 and Chapter 13 matters.
