Real estate experts agree that the housing market will remain strong during the first part of 2022. The forecast shows that inventory will remain low which means that prices will continue to go up as demand for new houses will continue to remain high. Those considering selling their house will want to put their house on the market sooner rather than later to get top dollar, because the housing market is expected to change as the year progresses. Sellers should spend some time reviewing the market analysis that their real estate agent will provide to determine the best price to list; if sellers set an unrealistic price on their house, they will find it sitting longer on the market and then must drop the price. As buyers began to push back on over inflated home prices at the end of 2021, we saw over-priced listings dropping from $5000-$20000.
At some point during 2022 the housing prices will peak and then begin to plateau. This will be good news for buyers, especially those who have been sitting on the side lines after getting beat out of other offers. Buyers also need to think about the type of house they want to purchase, some buyers think they are getting a bargain with a fixer-upper but with supply chain issues, lumber and supply prices skyrocketing and the high demand of trades people, it can be both expensive and difficult to renovate properties.
Another thing buyers will need to watch for is possible rising inflation, if this happens, we will see interest rates follow suit. However, the good news is that even if interest rates go up, they will remain historically low. Buyers will need to factor in slightly higher interest rates when determining what monthly mortgage payments they can afford. In 2022 buyers will have better luck in the housing market, though they need to understand that they will still be paying close to asking price in most instances.
Whether you are buying or selling, 2022 holds some good news for you, make sure you pay attention to the market, know your bottom line and work with a real estate agent that will take the time to walk you through the processes.
Training that helps me help you!
* Certified Distressed Property Expert (CDPE)
* Electronic Real Estate Professional (ePRO)
* Certified Negotiation Consultant (CNC)
* Certified Staging Consultant (CSC)
* Certified Agent Investor Specialist (CIAS)
* Institute for Luxury Home Marketing (ILHM)