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2022 Real Estate Market Outlook


Here’s a look at what’s happening in the market right now and what to keep an eye on over the coming months.


Housing Inventory Poised to Recover

After the tight inventory of 2021, this year shows signs of meaningful recovery. New real estate listings rose by around 5% in 2021.1 If this trend continues, expect more properties to hit the market in 2022.


Expect Smaller Home Price Gains

Home values are expected to rise slower in 2022, which might make the market a little better for buyers than the previous year. However, despite these smaller price gains, the market in most cities will still
continue to favor sellers.


Growth in Starter Home Listings

Housing inventory is shifting toward smaller homes as the share of homes having between 750 and 1,750 square feet has increased about 7% from 2020.5 This could be good news for millennials looking to purchase a starter home.


Historically Low Interest Rates

With mortgage rates near all-time lows, buying now may mean locking in a very low interest rate. While home prices are high, the low interest rates make it a much more affordable time to buy a higher-priced home.


Cities Are Making a Comeback

The 2021 rise in remote work led to many Americans moving to the suburbs, however, many homebuyers are looking to live in the city again. Housing industry data reveals online searches for urban properties has surged. Additional data shows that the urban exodus has slowed considerably, and cities are growing again.


Are you considering buying or selling this year? Give us a call at 781-635-9022! One of our experience agents can help you through every step of the process!




Sources: 1. Brandon Cornett, “Why the U.S. Housing Market Might Be Better for Buyers in 2022,” 2. Alisa Wolfson, “Here’s exactly how much economists think home prices will rise in 2022 — and whether you should buy now,” 3. Brandon Cornett, “Housing Forecasts for 2022 Predict Another Year of Steady Price Growth,” 4. Sanjiv Das, “Homebuyers fled cities as COVID spread but many are heading downtown again,”

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