Regardless of your specific market, making accurate, data-driven decisions is the best way to ensure real estate success. Fortunately, analysts have been hard at work examining the data from 2021 to determine where things are headed in 2022.
Key Forecasts for the 2022 Real Estate Market
Here are a few of the biggest forecasted trends in real estate for 2022, along with some tips for how agents and investors can make the most of the changing market.
Climate Change Is Making Its Mark
No one who lived through the ice storms in Texas or the 114-degree days in Seattle can doubt how much climate change is starting to affect our daily lives. These weather disasters will only increase in volume throughout 2022. We can expect to see major changes in zoning codes, insurance rates, and more. This is especially true in areas like Florida and California that have been continually impacted by climate-related natural disasters.
More Homes Are Becoming Available
As of August 2021, the number of real estate properties available for sale in the U.S. increased by nearly 25% compared to just a few months earlier. If more homes are available and the number of buyers remains flat, we can expect to see fewer bidding wars.
Major Growth Is Coming in the South and the West
In the past, coastal regions have grown the fastest, spurred by high employment numbers in urban centers like Los Angeles and Washington, D.C. Now, we’re seeing areas away from the coast, in the southern and western United States, grow explosively. Some of the cities with the hottest real estate markets for 2022 include Nashville, Raleigh/Durham, and Phoenix.
How Agents Can Get the Most out of the 2022 Market
With all these changes ahead, how can agents get the most out of the 2022 real estate market? Here are some of our top suggestions for how agents can thrive in this market.
- Dive into data. Use PropStream’s robust data and list filtering capabilities to research markets. Ensure you’re targeting properties that are in an area on an upward trajectory, or are considered a "hot market."
- Get leads from the right sources. Zillow's recent exit from iBuying shows that agents shouldn't rely on this type of third-party site for leads. Instead, rely on your own skills and connections to get high-quality leads — or find them using PropStream’s specialty targeted lead list.
- Keep up with zoning changes. As zoning laws evolve in response to climate change and housing market shortages, agents must be well-versed in any local zoning laws that apply to the properties they’re listing or purchasing. Having this knowledge helps you stand out from the crowd and ensures you can answer any question clients throw at you.
How Investors Can Get the Most out of the 2022 Market
Real estate agents aren’t the only ones navigating a changing real estate market. Investors also need the most current information and data so they can make savvy investments and renovations that improve their overall ROI.
Here are a few ways investors can embark on the road to success in 2022:
- Make smart renovations. Some of the most popular renovations for the new year include climate-friendly upgrades like LED lights and more efficient heating. Using our rehab estimator calculator, you can determine how much a potential renovation might cost and what ROI you can expect.
- Stay in sync with zoning changes. Investors need to be just as aware of these changes as agents do. Make sure you use a robust data tool like PropStream to help you determine the most up-to-date information for any property you purchase.
- Simplify your searches. With more homes available now than in early 2021, it can take ages to look through all the options. Instead of casting a wide net, use a multi-sourced data tool to narrow your options down.
Start Strong in 2022 With PropStream
With another uncertain year ahead, you can never have enough data and information at your fingertips. That’s why we’re pleased to offer PropStream to anyone involved in the real estate market. Whether you're an agent or investor, PropStream has something for you.
Want to see how it works for yourself and get a head start on the road to success? Start your 7-day free trial today!
