12 housing markets expected to grow in 2022

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Although it is possible not as reliable as 2020record volume, high demand for home purchases is expected in the remaining 2021 and 2022, especially as consumers seek low mortgage rates and the younger generation reach the age of buying a home.

“I think [the industry forecasts] we’re a bit conservative in the second half of the year, ”said Charlie Clarke, senior vice president and chief executive officer of Mortgage Warehouse Finance at TIAA Bank, in an interview. “This is based only on our numbers and our experience. Indicators for April, May and June for us corresponded to the level of production in the second half of last year ”.

Although more sellers list their properties as well as falling prices for lumber offer reason for buyer’s optimism, a long-term lack of inventory for sale has led to rising prices and availability of refueling… Cities with growing interest can expect the same over the next 12 months, and some of them will undoubtedly see housing prices rise above the national average.

According to Jeff Tucker, senior economist at Zillow, comparing the area’s current housing stock to historical rates is a good barometer of market conditions. With little choice for buyers, sellers do not face competitive pressures to undermine each other. leading to bargaining wars.

“Multiple bid situations are the direct cause of significant increases in value, and this information is quickly communicated to other real estate agents putting up the next batch of homes for sale,” Tucker said in an interview. “But honestly, the best predictor of upcoming price increases is price increases over the past few months. This time series has an inherent momentum that is much more predictable than other prices, such as the stock market. “

Using a model combining historical price levels, current market values, and supply terms, Zillow predicted year-on-year growth in house prices by May 2022 in the 100 largest urban areas. From the Sun Belt to the West, local lenders from the top 12 housing markets with expected value increases are talking about making their cities ripe for boom.





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