As we begin a new year, everyone is wondering what the market is going to look like throughout 2022. We don’t have a crystal ball, but we can certainly look at what we’ve seen over the past 18 months to give us a good idea of what to expect in the next 12. Here are three things you can expect in real estate in 2022:
- A strong seller’s market. As you all know, we’ve had a strong seller’s market here in Atlanta for the last 18 months. I think this will continue to be a seller’s market for the foreseeable future, but we may see a slightly calmer market than last year. Buyers got tired of losing out when they were up against 50 other offers. You may only see five or 10 other offers this year instead.
- Higher rates. Although I believe prices will remain high, I believe interest rates will increase as well. They’ve been historically low for the past two years, but it’s only a matter of time before they rise. I don’t think they’ll go up to 15% like they were 40 years ago, but we may get up into the 4% range and above by the end of the year.
- A market where buyers and sellers can win. As we move further in 2022, we’ll continue to see strong conditions for sellers. Buyers can also take advantage of low interest rates.
Interest rates may rise to 4% by the end of the year.
If you have any questions for me about the market or real estate in general, don’t hesitate to reach out via phone or email. I look forward to hearing from you soon.