The 2021 housing market was a rollercoaster ride for home buyers; one that featured an abundance of ups and downs, twists and turns, and unprecedented low interest rates. Although we’re still riding that rollercoaster and sellers are expected to have the same advantages as last year, real estate experts are speculating that the market may be easing up somewhat for the first-time home buyer. Here are the 7 trends that will most likely dominate the home buying market for the balance of 2022 and into 2023.
Trends That Would Dominate The Home Buying Market
- Demand for more indoor and outdoor space will continue – we’ve seen a tidal wave of individuals leaving dense urban areas for more suburban home space during the COVID-19 pandemic. While there is an increased demand for suburban homes with more indoor and outdoor space, new construction homes are increasing in size, as well.
- Home buyers will make compromises when trying to find their “dream home” – due to a depleted housing inventory, the market will remain intensely competitive, thereby making the purchase of that “dream home” quite elusive.
- Homebuying will cost you time as well as money – not only does home buying require financial budgeting, it also requires you to budget the time for it, especially in the current fast-paced housing market.
- Housing affordability issues will continue – 2021 saw historically low interest rates which help to counteract higher price listings. For the balance of the year and into next year, the experts are predicting that both housing prices and interest rates will increase through the balance of this year.
- Purchasing a starter home will be more cost-effective than renting one in some areas – this is a Catch-22 of sorts. Because of increased housing prices, there’s been an increased desire for renting until the housing market shows signs of cooling down.
- Wellness home designs will become more popular – while these will become more commonplace, some of them will have a premium price tag attached to them. These features will include meditation rooms and spa-inspired bathrooms are just a couple of these thoughtful wellness designs.
- While the buyer’s outlook could improve, it will still be a seller’s market – 2022 will continue to be a seller’s market as housing is still in short supply. However, housing market analysts are predicting that we’ll rebound from the lows in 2021 because of a growing inventory of available homes.
Buy A Home in Denver with Front Range Mortgage
Interested in purchasing your first Colorado home? Contact Front Range Mortgage at (303) 500-1900 today. If you are unable to decide on the right mortgage or need more financial information, our mortgage experts are here for your assistance. Call us today!