The 2021 housing market saw homes listed for sale flying off the market in a matter of days due to a combination of high demand and a chronic shortage of inventory. While experts predict that next year will bring similar imbalances to supply and demand, they largely agree that the frenzy over properties will level off.
The National Association of Realtors’ virtual Real Estate Forecast Summit presented expectations for 2022’s housing market from 20 leading economists. The consensus was that median home prices will increase 5.7 percent next year, a continuation of the affordability struggles many buyers faced in 2021.
While some economists anticipate that mortgage rates may increase slightly, it is generally accepted that they will not move far off from today’s historic lows. Today, conforming no-point 30-year fixed mortgage rates are averaging 3.0 percent and 15-year rates are near 2.25 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (877) 700-0942 and your questions may be featured in an upcoming article.
