According to the Federal Reserve’s Survey of Consumer Finances, 64.9% of American families own a primary residence. The scale and size of the housing market make it an appealing and lucrative sector for many investors.
However, the housing market is constantly changing, and housing market trends come and go. Given that the housing sector is highly localized, with varying conditions in every state, city, and metro area, you cannot expect things to stay the same.
Fortunately, knowing the market’s fundamentals can help you remain on top of these changes. Hence this article shall discuss the most up-to-date housing market trends, which every real estate investor should follow.
Low mortgage interest rates are one of the reasons for the housing market's robust performance. By the end of 2022, mortgage interest rates can increase slightly from their present level of 3.5%. However, according to experts, mortgage rates are unlikely to change rapidly or drastically.
According to the Federal Reserve, the median house sales price has increased by nearly 33% in the last five years. There is still a greater demand for homes than there is supply, particularly among real estate investors and people searching for larger suburban houses now that working from home is becoming more common.