It has been a long and winding path, but there is some good news to report. Prospective buyers can finally relax as we enter 2022—the market is on its way back to a more normal balance. So, we have gathered some estimates for the Long Island real estate market to get you motivated to start looking for a new house in the new year. Continue reading.
Low mortgage rates will continue to fuel demand growth. Positive indicators toward a more normalized market with more favorable conditions for buyers include a cooling pace of sales, more inventory, and moderated prices.
Increasing Housing Supply
More supply of housing would be backed by an increasing inventory of new properties available for sale in a more normalized market, especially as more current house owners move. Many investors may sell rental homes to take advantage of the high prices. Despite the increased availability, low home inventory could still be an issue in 2022 and for many years to come.
A Stable Housing Market
Will housing prices start declining or keep going up in the near future? We cannot say for sure. However, we estimate double-digit gains to drop in 2022, giving budget-conscious homebuyers additional options. Property prices will continue to rise due to a lack of supply however it could moderate, making houses more affordable. From the 16% growth in 2021, home price growth could slow to 5% in 2022.
Are you contemplating your Long Island real estate options? Stay informed on the current state of the housing market. At Lynx Mortgage Bank LLC, we can assist you in obtaining the appropriate mortgage so that you can purchase your dream house in this beautiful part of New York State. Contact us at 877-599-5969 or visit our website for more information.