Are you wondering what is in store for the housing market in 2022? I gave up predicting the real estate market a long time ago, but I do listen to our local and national economists to get their take on things. I also read. A lot.
Though no one really knows for sure how things will shake out for real estate, according to a recent article in Realtor Magazine, the following are a few foreseeable trends:
Suburbs are Still the Place to Be
The pandemic continues to modify what Americans look for in a home. One in five homeowners looking to sell and move no longer need to live near their office. That is giving them the flexibility to move further out, allowing them to target the suburbs.
Millennials are Eager to Finally Move
Forty-five million millennials are in a “homebuyer sweet spot,” realtor.com® says, and many of them will fall within the prime first-time homebuying ages of 26 to 35 in 2022.
Affordability Challenges Remain
Home prices, rents, and mortgage rates are all expected to be on the rise in 2022. The 30-year fixed-rate mortgage is expected to average between 3.5% to 3.6% by the end of 2022.
More Homes Come on the Market
More housing inventory will hit the market, so home prices will continue to rise but at a slower pace.
Though it remains to be seen how the market will fare in 2022, it appears that a competitive seller’s market is likely to stick around. In fact, according to Realtor.com, 2022 will be a whirlwind year! Get ready!