Considering buying or selling in 2022? Then you’re likely wondering what the Triangle’s real estate market is expected to look like this year before you make any move. Like the past two years, the Raleigh-Durham market is going to be hot, with growing opportunities throughout the entire region. And while some of 2022’s trends will be similar to those started in previous pandemic years, there will be a noticeable shift in what’s expected.
The Triangle is positioned to experience continued growth despite this shift. In fact, Zillow just ranked Raleigh as one of the top real estate markets for 2022, just behind Tampa and Jacksonville, FL. This ranking was earned due to the Triangle’s high job growth, a plethora of potential buyers, the rate of inventory movement, and what’s predicted to be a strong home value growth. In other words, Raleigh-Durham will experience another outstanding year in real estate.
Here’s what you can expect to see in the upcoming year:
• The Triangle market will remain hot. The most recent Triangle MLS report from 2021 shows all housing data rose across the Raleigh-Durham area over the previous year, which included the number of listings, the number of sales closed, and both median and average sales prices of homes. That trend will still occur in 2022. Another trend seen over the past two years is a need for more housing inventory, which will continue to remain an issue in 2022. Still, it will be an exciting year in real estate across the Triangle area as builders answer consumer demand for bigger homes in smaller communities across the region. As Covid-19 continues to play a role in how people work, expect to see new homes on the market that offer plenty of living, work, and play spaces.
• Interest rates will start to increase. Thanks to the pandemic, interest rates have remained at historic lows for two years now. While the Federal Reserve will likely increase interest rates to slow pandemic-related inflation, it’s likely that increase will be slow, but steady. That means you still have plenty of time to lock in a great home mortgage rate. To ensure you get the best rate possible, don’t forget to take a few simple steps. Save up for the biggest down payment possible, check and work on your credit scores, decrease your debt, and shop around for the best mortgage rates to find the best rate possible.
• Home prices will continue to climb, but more moderately than we’ve seen. Realtor.com predicts home sales prices across the Triangle will increase by more than 4% in 2022. The good news is, that percentage is still lower than the increases seen in 2020 and 2021. The Triangle MLS reported an 6.2% median sales increase across the region in 2020, which was toppled by a 16.3% median sales increase in 2021.
• Buyers will have a shifting interest in what they’re looking for. As new buyers move to the area due to job demand and Millennials start to enter the market, there will be a new generation of buyers looking to make their move. Builders in the Raleigh-Durham area are still dealing with labor and supply chain issues, so if you’ve been sitting on the fence about whether to sell, it may be a good time to keep these buyers in mind. Starter homes will be high in demand as these buyers look for the opportunity to experience homeownership for the first time.
What should you do if you’re hoping to buy in 2022?
Start 2022 by getting your budget in order if you’d like to buy this year. Make sure to get pre-approved, save a good amount of money for a down payment and closing costs, and get your credit scores and debt under control to lock in the best rates. Be prepared for a competitive market by being responsive and knowing what you can afford to pay so you get the perfect home for your needs.
What should you do if you’re hoping to sell in 2022?
Begin exploring your options immediately if you’re thinking about selling. If you’re considering making a move to a bigger home, you’ll want to make sure you can find a home that fits your needs. A contingency offer can ensure you move seamlessly from home to home, but you’ll want to make sure you aren’t limited by inventory issues. Finding a great Realtor can also make sure your home is shown to a the right buyers, so you get the best price for your home.
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