My Real Estate predictions - Everybody’s Elevated 2022
Agents and companies: All Elevated but take the stairs to stay on top.
It seems like every product, company, car and Especially Real Estate companies and agents are now “Elevated”.
It’s the new word
What I can tell you from years in the business is that the really successful Agents didn’t just push a button to get to the top, they took the stairs and the hard work paid off.
The market will continue to stay strong through 2022 and the agents who took the stairs will stay on the top floor.
Realtor.com's Home Price Forecast 2022 - Elevated
* Home sales prices are expected to continue rising, resulting in a decade-long string of year-over-year gains beginning in early 2022.
* Looking ahead, Realtor.com anticipates that with economic growth projected to sustain enthusiastic purchasers' spending power, the median home sales price will continue to rise, gaining 2.9 percent in 2022, a somewhat slower rate.
* Homebuyers will face increased monthly costs as a result of rising prices and borrowing rates.
* Affordability constraints will prevent prices from increasing at the same rate as they did in 2021, even as supply-demand factors continue to drive prices upward nationwide.
* The housing market will remain competitive for buyers in 2022, particularly those looking for homes in entry-level price tiers.
* Numerous protective buyers (millennials) imply rising property prices, which, when paired with rising mortgage rates, would result in greater monthly payments for buyers.
Home Sales Forecast 2022
* At a national level, this means we expect to see continued home sales growth in 2022 of 6.6% which will mean 16-year highs for sales nationwide and in many metro areas.
* With almost 45 million millennials between the ages of 26 and 35 who are prime first-time homebuyers in 2022, housing demand is likely to continue strong.
* 2022 is expected to have the 2nd highest sales level in the last 15 years, bested only by 2021.
* First-time homebuyers will need to be successful in the 2022 housing market if we are going to see the homeownership rate begin to climb again.
Housing Supply Forecast 2022 - Somebody hit B for basement
* With homes continuing to sell at a rapid pace, inventory will remain constrained, but they expect the market to recoup from its 2021 lows.
* Inventory is predicted to expand by an average of 0.3 percent in 2022.
* With 28% of homeowners deciding not to sell stating that they are unable to find a new house to purchase, an increase in inventory could be self-reinforcing, attracting additional potential sellers as they find properties to purchase.
* The increased new construction will eventually contribute to this upward tendency as well.
* Even as for-sale inventory increases, creating competition for some sellers, well-priced homes in good condition will continue to sell rapidly in many regions.
Housing Rent Forecast 2022 - way too Elevated
* Renters will see increasing rents in 2022.
* The rental vacancy rate has remained at its epidemic lows (between 5.7 percent and 6.8 percent).
* In 2022, they forecast that this tendency will continue, resulting in continued rent growth.
* Nationally, the rent growth of 7.1 percent is forecasted over the next 12 months, slightly ahead of home price growth, as rents continue to recover from earlier in the pandemic's slower rise.
Real Estate Investment Forecast 2022
* In 2022, investors will continue to earn a healthy return on their housing market investments.
* Existing homeowners are in a strong position, and rising rents are likely to tempt investment buyers to continue purchasing properties even as mortgage rates climb.
* In the spring of 2021, investors purchased more properties than they sold, and this investor surge persisted into the summer.
* If these homes are rented, 2022 will be an ideal year to earn a high return due to strong demand and predicted increases in rental prices.