MINT HILL, NC – The pandemic certainly threw the real estate market into a frenzy. With bidding wars, unlike many agents, had ever seen, more all-cash offers than normal, stacks of cash coming to the closing table, and a limited supply, it was rather crazy. However, that time is over, and now the focus is on a potential market correction.
According to an article from Yahoo! Money, experts don’t believe there will be a housing correction in 2022. Many do believe home sales will go down some and prices will slow some, but they don’t see a big correction coming.
Some have expressed concern over the mortgage rates going up, but this is a bit of smoke and mirrors situation. Rates hit an all-time low in 2021, which means, even a bump up is still historically very low for the mortgage rates.
The Other Side of the Housing Market Coin
While the experts cited in the Yahoo! Money article doesn’t believe the market will correct in 2022, there is another side to the story.
An article from Forbes.com starts off by stating the housing market will flatten in 2022 or early 2023 due to the mortgage interest rates rising. Others have predicted that buyer fatigue could be a factor causing the market to start to slow down.
Other experts believe it’s not a bubble like 2008, but just the market starting to slow down. However, there are several factors that could cause the market to slow down at different rates.
Of course, many are paying close attention to what happens with interest rates. The stock market is another signal many are watching. How fast new construction homes return due to higher lumber prices and slower building could also have an impact.
What Will Happen in 2022?
It’s very difficult to predict, on a national scale, what is going to happen to the real estate market in 2022. While many experts believe a slowdown is inevitable, this is just a safe prediction. What goes up must come down and the real estate market likely peaked in 2021. That doesn’t mean the market will crash or even correct. A slowdown could just bring a bit more balance to the market.
One of the things to watch, in any local market, is the homes for sale. For example, if the homes for sale in Mint Hill, NC starts to get tight, it will cause a seller’s market to continue. However, if the inventory continues to grow, it can help bring some correction to the market and some balance.
There are quite a few opinions and predictions out there from experts in the real estate industry. Some may end up being right, others may end up being very wrong. The best way to know what might happen with your local real estate market is to speak with a local real estate agent.
I would love to be part of your journey when the time is right for you. If you ever have a real estate question or need, or know someone who does, trust that you can turn to me. I will help you make the right move! Anna Granger (704) 650-5707 | email@example.com | www.1stchoicepropertiesinc.com