Emerging Housing Market Trends To Know in 2022 

So what should you expect now as a property manager or owner? Has the unpredictable market trends in the past two years left you shaken? Here’s all that you need to remember about the rising housing market trends of 2022 to stay on top of it. 

1. Now, climate crisis is more important for real estate 

2. The use of technology in real estate is rising  

The global trend of social distancing and virtual lifestyles has changed the way people survey and buy homes. From 3D tours, virtual staging and drone views, property management has incorporated all of it to reach customers at their homes. Business owners now use property management software to get the back office work done quicker and at less cost. 

Like Zillow is already using virtual tours and chatbot interactions with potential customers to change the home shopping experience.  

You need to take notice of these trends and make better technology selection in project management. The sudden shift can come with a lot of extra work. The best solution would be to onboard a project management consultant. At Assetsoft we provide the best technology selection for your housing business. Use Yardi project management for back office needs or property management. You can also use project management UiPath for AI-based solutions to immediate client needs.  

3. Affordable housing is a major issue 

The pandemic has left many people jobless and many had to take major pay cuts to stay employed. The shift in income trends has largely affected house buying and renting trends as well. Nearly half of America (49%) feels that their own local communities lack affordable housing for them. The trend has especially risen post-pandemic due to incomes taking a major hit.  

Surveys believe that only 56.6% of the total homes sold last year were affordable enough for an average American family with a standard income. This trend will stay put if the economy and jobs do not go back to their normal state very soon. 

4. Hispanic homeowners are on the rise 

The Hispanic population has always had their share of problems in becoming homeowners in white-dominated the USA. In 2020, not more than 49% of Hispanic people in the USA owned their homes. From racial prejudices to unequal paychecks, a lot of factors played a part in this. But this figure is changing quickly. 

An Urban Institute study insists that the number of new Hispanic or Latino homeowners will reach as high as 70% by 2040. If this is any number to go by then as a property manager you know where the next real estate market boom lies. 

5. The rise of mortgages might be a major concern 

Mortgage rates reached an all time low when the pandemic hit the world. An average 30 year mortgage loan had an interest of 2.93% in January 2021 and reached 3.12% in December 2021. The rates remained quite low throughout the year. But housing experts believe that the housing rates are set to rise in this new year. Why? Multiple factors are playing a part. The major impacting factors are the rising inflation and change in customer spending patterns. The Federal Reserves has plans to cut down on buying bonds is also influencing the rise in interest rates. At present the interest rates stand at a 3.92%, which is a much higher rise in the past 2 months than the whole of lasy year. Housing experts believe this might increase the price of housing, but they are hopeful that the shift will be slow. 

6. A major shift from cities to suburbs 

A Zillow study says that more than 47% of millennials now stay in suburban areas compared to their boomer parents. There are multiple reasons for this. One is the option of complete remote work. A huge chunk of the millennial crowd now permanently works from home and that gives them the liberty to stay anywhere. Suburban housing prices are comparatively lower and millennials now value their money more than ever. They are getting the best of houses in the suburbs at cheaper rates than in cities.