2022 Housing Market: From the Experts

Jan 7

As we move into 2022, both buyers and sellers are wondering, what’s next? Will there be more homes available to buy? Will prices keep climbing? How high will mortgage rates go? For the answer to those questions and more, we turn to the experts. Here’s a look at what they say we can expect in 2022.

Odeta Kushi, Deputy Chief Economist, First American:

“Consensus forecasts put rates at about 3.7% by the end of next year. So, that’s still historically low, but certainly higher than they are today.”

Danielle Hale, Chief Economist, realtor.com:

“Affordability will increasingly be a challenge as interest rates and prices rise, but remote work may expand search areas and enable younger buyers to find their first homes sooner than they might have otherwise. And with more than 45 million millennials within the prime first-time buying ages of 26-35 heading into 2022, we expect the market to remain competitive.”

Lawrence Yun, Chief Economist, National Association of Realtors (NAR):

“With more housing inventory to hit the market, the intense multiple offers will start to ease. Home prices will continue to rise but at a slower pace.”

George Ratiu, Manager of Economic Research, realtor.com:

“We also expect a growing number of homeowners to bring properties to market, taking some pressure off high prices and offering buyers more options.”

Mark Fleming, Chief Economist, First American:

“Strong demographic demand will continue to act as the wind in the housing market’s sails.”

What Does This Mean for Buyers?

Hope is on the horizon for 2022. You should see your options grow as more homes are listed and some of the peak intensity of buyer competition starts to ease. Just remember, rising rates and prices are a great motivator for you to find the home of your dreams sooner rather than later so you can buy while today’s affordability is still in your favor.

What Does This Mean for Sellers?

Make no mistake – this sellers’ market will remain in 2022 as home prices are projected to continue climbing, just at a more moderate pace. Selling your house while buyer demand is so high will truly put you in the driver’s seat. But don’t wait too long. With more listings projected to become available, your ideal window of opportunity to stand out from the crowd won’t last forever. Work with an agent who knows your local market and current inventory conditions to ensure you have the support you need to make an educated and informed decision about selling in the coming year.

Bottom Line

If you’re thinking of buying or selling, 2022 may be your year. Let’s connect to discuss your goals and the unique opportunities you have in today’s housing market

Joshua Baumgardner

Growing up with family roots in both property management and construction to eventually becoming Vice President of TTR Sotheby’s International Realty, Joshua was destined for a life in the real estate industry. Joshua spent the first years of his career as a professional opera singer, and the owner of a private voice studio. It didn’t take Joshua long before he felt the undeniable yearning to return to his roots in real estate.

With an unrelenting ambition to surpass the expectations of each client, Joshua is committed to making the buying and selling process as smooth as possible. As a member of The Alliance Group, Joshua works closely with his team members to assist each client and their unique situations. The team’s expertise spans every facet of the industry from working with first-time homebuyers to listing the luxury properties of global clients. Joshua's team is one of the highest-producing groups in the DC Metropolitan area, and a multi-year recipient of the Best of Washington, Best of Arlington, and RealTrend Top Producer Awards.

Joshua calls the vibrant NoMA neighborhood home, and can often be found brunching along 16th Street, biking the C&O Canal Trail, serving at Foundry United Methodist Church, or spending a Saturday evening enjoying a new opera or musical.

Joshua is a graduate of James Madison University, and Florida State University, a member of the National Association of Realtors, The Northern Virginia Association of Realtors, and a founding member and serves on the boards of the Wagner Society of Washington DC and the LGBTQ+ Real Estate Alliance. Follow Joshua on Instagram @LiveTheDMV.

Joshua’s team is founded on the shared vision that luxury is a level of service and not a price point, with the team’s individuals sales ranging from $220K to $9.98M, totaling nearly $1 billion in combined lifetime sales.

https://www.LiveTheDMV.com