REAL ESTATE INVESTMENT PREDICTIONS FOR 2022

Are you hoping to break into real estate investment this year? Or, are you looking to expand your portfolio? We’ve read up on the biggest real estate investment predictions and talked with our investment experts—and here’s what you need to know.

Mortgage interest rates will climb

According to Bankrate and Forbes, the era of record-low mortgage rates is coming to a close. Experts say rates will climb to nearly four percent by the end of 2022. There’s good news, though. Interest rates may be rising, but they’re still low compared to pre-pandemic rates.

Single-family properties will remain a smart investment

Real estate investors love single-family properties for several reasons. For instance, they’re easy to buy and you can start making money back quickly once your property is rented. Investors love these properties so much, in fact, that their purchases made up nearly 20 percent of single-family home sales in 2021. Wondering how to get into real estate investing? Get started with our guide.

Home value appreciation will slow down

The rapid appreciation rate seen in 2021 will cool off in 2022. The Chicago Tribune says, “appreciation rates were at nearly 20% in mid-2021, and Fannie Mae expects a 7.9% home appreciation rate for 2022.” Home values will continue to grow gradually, but at a milder pace.

Home prices will continue to rise

With higher interest rates and prices, you’ll need to make sure your financial strategy is rock-solid. And, you’ll want to partner with a qualified realtor to score affordable properties in desirable areas in the Madison, Wisconsin area—we can help you out with that!

Virtual real estate isn’t going anywhere

We know by now that the pandemic is impossible to predict. So, while we hope we’ll be back to normal in 2022, it’s very possible that virtual real estate will continue to be essential this year and beyond. If you haven’t already, now’s the time to make sure you have the right network of tech-savvy real estate partners.

Have questions about these real estate investment predictions or want to get started on your 2022 investment journey? Our realtors are highly experienced and ready to help you reach your goals. Contact us today!