The record-year of 2021 came to an eventful conclusion, with sales finishing as strongly as they began. It now seems like 10 years ago, but I remember how Icemageddon didn’t slow down the market at all. It appears that 2022 will see another series of blue northern fronts, hopefully it won’t bring the ridiculous ice and subsequent power outages.
I get questions about the market all the time, and do my best to give as novel an answer as possible each time and not just a prepared, rehearsed speech about how great things are. Fortunately, all signs point to another very prosperous year in real estate.
“But John, you enchanting yet terrifying merchant of real property,” I hear you ask, “surely inflation, supply-chain issues, and rising interest rates will impede the DFW market.” Well, imaginary querier, it’s true that interest rates are on the rise. They have risen 1/2 point for a 30-year fixed mortgage since November, and they will probably rise another 1/2 point before December, but that still puts us below 5%. Builders are approximately 24 months behind construction projects, which will only continue to put pressure on existing homes to appreciate. As for inflation, yes it’s going to affect every aspect of our lives, and don’t expect it to improve until the powers-that-be acknowledge what issues are causing the problem.
Now’s the time of year when I do my annual real estate reviews, and I’m happy to sit down with anyone – in person or via Zoom – and give them a 10-minute prediction and a free market analysis. Call me if you’re interested!
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