2022 is right around the corner and in the real estate world we are wondering if we should expect another year of limited supply as well as a shortage of labor. When it comes to real estate investing, accurate market predictions are imperative. This is true for fixer uppers and new developments alike. It begs the question, “Will 2022 be a good year to invest in real estate and what do I need to consider?”
Cooler temps ahead
Experts anticipate home values to cool in 2022 compared to the hot market in the first half of 2021. Investors need to weigh the risk and reward that comes with investing in this changing climate. According to Realtor.com, we saw the rate of price increases fall in both August AND September, which was the first back-to-back monthly decrease in 2021. A positive to this change – this shift may lead to a rebalance between supply and demand in the coming months.