If you are thinking about buying a home, you may have heard that the housing market is about to break records in 2022. Recent figures from the National Association of Realtors indicate that home sales will be at their highest levels in 15 years. The combination of low interest rates and a hot housing market makes 2022 a great time to buy a home. But there are a few things to consider before jumping into a real estate transaction. You can also check out this website to get the latest real estate news.
Prices will continue to increase, pushing up demand for homes in cities with lower prices. In addition, demand for homes in larger cities may be limited until inventory increases. This will push many people into renting instead of purchasing. As a result, prices will continue to rise, but much slower than in recent years. The National Association of Realtors predicts that home prices will increase by 2.8% compared to 14.7% in 2021.
The lack of inventory in new construction may have contributed to the shortage. High building materials have added an average of $36,000 to the cost of a new home. However, with continued economic growth, the housing market will get back on track in 2022. Several companies are already restocking their shelves, so prices should remain stable. However, it is important to note that rising prices in 2022 may not result in the price increases you expect to see this year.