10 Real Estate Trends To Watch in 2022
Like any other industry, real estate has undergone significant changes due to the outbreak of the COVID-19 pandemic. Circumstances shaped a set of steady trends determining market behavior. The most vivid examples of how the pandemic has influenced the real estate market include the rise in property prices across the U.S. and low mortgage rates.
Will things change in 2022? In some respect, yes. Let's take a look at the real estate trends to watch in 2022.
#1 The prices for real estate will rise more slowly
Although home prices won't drop, real estate analysts predict that they'll stop growing so rapidly as in the past two years.
#2 Buoyant demand for low-density suburbs won't decline
According to the top realtors in Harrisburg PA, a strong focus on safety and work-from-home possibilities have triggered a rise in demand for suburban single-family homes. Since the pandemic started, many people have tapped into the convenience of greater living space, and this trend doesn't seem to cease.
#3 Mortgage rates will rise
Although mortgage rates have been at or near historic lows, they are expected to increase in 2022. However, they won't skyrocket: the increase in interest rates throughout 2022 will be no more than needed to combat inflation.
#4 Demand for homes will exceed supply
Rising demand for homes coupled with COVID-driven construction delays gave birth to another real estate trend - lack of property for sale, especially offerings at entry- and mid-level price points. And since the demand isn't likely to drop in 2022, the shortage of homes for sale won't come to an end either.
#5 Online real estate services will grow in amount and quality
The world has shifted to online, and real estate services are not an exception. Online platforms enable buyers to browse or list homes for sale or find a reliable realtor within a couple of clicks. With the convenience they provide, it's safe to assume that the number of quality online real estate services like FastExpert will only grow.
#6 Rents will keep on increasing
Although rents have already seen record highs, they are expected to grow in 2022. In addition, rental demand will continue to rise in suburban areas along with busy cities.
#7 Natural disasters will affect property pricing
Natural disasters are expected to become one of the critical factors affecting home-buying decisions. Areas prone to floods, wildfires, or hurricanes will be avoided, which will reflect on pricing.
The pandemic pushed real estate marketers to adjust to new circumstances and introduce new ways to showcase properties. Although 3D technologies existed before, virtual tours reached the peak of popularity 2020 through 2021. Virtual tours allow for realistic, immersive experiences and enable customers to view multiple properties online without leaving their bedrooms and shortlist only the most favorite homes for a real tour. Undoubtedly, this trend will stay for the years to come.
#8 3D virtual tours will replace numerous property visits
The pandemic pushed real estate marketers to adjust to new circumstances and introduce new ways to showcase properties. Although 3D technologies existed before, virtual tours reached the peak of popularity 2020 through 2021. Virtual tours allow for realistic, immersive experiences and enable customers to view multiple properties online without leaving their bedrooms and shortlist only the most favorite homes for a real tour. Undoubtedly, this trend will stay for the years to come.
#9 Smart homes will get more popular
People appreciate the benefits technology brings into every part of their lives, their houses and apartments being not an exception. Today, more and more people seek homes that are packed with intelligent devices such as smart thermostats, smart locks, and smart lights. As a result, a greater number of smart homes is expected to hit the market in 2022 and beyond.
#10 Foreclosures will creep up
With the moratorium on foreclosures having expired in July 2021, foreclosure rates have already begun shooting up. Although the current volume is still below historical norms, foreclosures will probably keep on climbing in 2022.
Daily Bulletin
