As the end of the year approaches, housing market predictions for 2022 abound. Fortune reviews various 2022 housing forecasts, focusing specifically on home price growth. Redfin predicts a more balanced residential market in 2022. Realtor.com forecasts a mixed bag of opportunities for homebuyers in the coming year. Predictions for the top housing markets of 2022 may surprise you. Plus, what will it take to modernize the appraisal process? Read on for this week’s appraisal news and insights.
Where the housing market is going in 2022 as told by 7 leading forecast models
Fortune’s review of 2022 housing market forecasts focuses mainly on home price growth in the coming year. They look at forecast models from seven different industry leaders: Zillow, Goldman Sachs, Redfin, Corelogic, Fannie Mae, Freddie Mac, and the Mortgage Bankers Association.
“The economic models don’t produce anything close to a consensus,” writes Fortune. “Some of these forecast models predict price growth next year will go down as one of the highest on record. Others are forecasting a rate of appreciation that would be the slowest in more than a decade.”
Redfin predicts a more balanced housing market in 2022
“Higher mortgage rates will end double-digit price growth and new listings will hit a 10-year high,” predicts Redfin. “2022 will bring more balance to the housing market. But don’t expect a buyer’s market; just more selection, less frenzy and slower price growth.”
Read the full forecast to learn about Redfin’s predictions regarding mortgage rates, supply and demand, new construction, home price growth, and more.
Realtor.com forecasts mixed bag of housing market opportunities for 2022
According to this story from MReport, “Realtor.com’s 2022 Housing Forecast has concluded that U.S. home buyers will have a better chance to find the home of their dreams in 2022, but will face a competitive seller’s market, as first-time buyer demand will continue to outpace the nation’s recovering inventory.”
Read the full 2022 Housing Market Forecast by Realtor.com.
The 10 top housing markets of 2022
For the top housing markets of 2022, “Think Boise, not New York City,” says this CBS News story. The article notes that big cities, like New York and Los Angeles, may lag smaller ones, like Boise and Salt Lake City, in 2022. Citing Realtor.com’s predictions, it lists the following top ten housing markets for 2022:
- Salt Lake City, Utah
- Boise City, Idaho
- Spokane-Spokane Valley, Washington
- Indianapolis-Carmel-Anderson, Indiana
- Columbus, Ohio
- Providence-Warwick, Rhode Island-Massachusetts
- Greenville-Anderson-Mauldin, South Carolina
- Seattle-Tacoma-Bellevue, Washington
- Worcester, Mass.-Connecticut
- Tampa-St. Petersburg-Clearwater, Florida
For more details and explanation, read the full story.
Opinion: The path to modernizing the appraisal process
This HousingWire opinion piece looks at steps needed to modernize the appraisal process and bring it in line with digital advances in the mortgage process. Both the FHFA’s announcement that desktop appraisals will become permanent starting in early 2022 and the recent creation of the Property Appraisal Valuation Equity (PAVE) initiative and task force are necessary steps along that path, the author argues.