If you’re thinking about investing in the United States it’s necessary for you to keep up with the American real estate market trends, which are constantly changing.
2021 was a great year for the American real estate market registering the highest number of sold houses compared to the last 15 years.
The pandemic enhanced the real estate market, making it increasingly competitive, rather than slowing it down.
Because of the strong demand, houses have been sold rapidly and often at a price higher than the first offer.
But what is going to happen in 2022?
Inventory shortage
One of the most widespread predictions about the American real estate market for 2022 is that inventory will be lacking, while the price appreciation will be more gradual than last year, though still consistent.
It is likely that during the spring and summer 2022 we will notice an increase in the number of properties for sale. However, it is unlikely that the supply would be enough to satisfy the demand.
NAR®’s forecast
A group of 20 economic and real estate experts, reunited by the National Association of Realtors®, think that in 2022 average house prices will increase by 5,7%, at a slower cadence compared to 2021, but still a consistent one.
The increase seems to be more structural and sustainable.
In fact, NAR® survey participants also expect the housing market to standardize next year.
High demand for rental properties
Realtor.com® economists foresee an increase of 7,1% of national rents in the next 12 month and demand will remain high.
House prices and mortgage rates are expected to keep growing in 2022.
This means that the ones who won’t afford to buy a house will keep looking for rental properties, increasing the demand for these last ones.
Realtor.com® economists also think that those who moved with their relatives during the pandemic might be ready to relocate again and still in properties for rent.
Tenants want bigger houses
The pandemic forced many citizens to work from home and tenants felt the necessity to look for bigger houses that could also serve as office. RentCafè reported that 36% of U.S. cities are building bigger apartments exactly because of this reason.
Bigger houses mean higher prices and, according to Realtor.com®, those who can’t afford such costs are thinking about moving into a bigger house with other roommates, in order to save on rent.
An occasion for investors
After all the data we’ve seen it’s clear that, thanks to rising rental prices and a competitive rental market, possible future investors in the United States should see a good return on their investments in 2022.
The rising home prices together with rising rental prices puts the investors in a promising position and can encourage some of them to add new properties to their portfolio.
Our advice is..
It’s easier to invest in the United States if you rely on real estate professionals. OPISAS always keeps up with the American real estate market trends.
