If you were in the real estate market in 2021, you probably had one of the best years of your life businesswise. That being said, though, what is 2022 going to look like? Are we going to have a real estate crash? What are going to be some factors that contribute to that crash if we do have it? What are some of my predictions moving forward through 2022 in the Dallas-Fort Worth metroplex when it comes to real estate?
Flashback to 2021 Prediction:
I don’t want to say that you can predict the market, but I feel like in many ways we might be going towards a downtrend. I’m not 100% sure, nobody really knows, it might happen or it might not happen. If it doesn’t happen, great, I hope the economy can keep going. But this real estate bubble looks like it’s about to pop.
Neal Johnson:
So as you can see, I was completely wrong about what I thought 2021 was going to look like. I did not expect for the government to push all this fake money into the economy, basically propping up the economy. I didn’t expect for interest rates not to go as high as they did. They stayed pretty consistent, which made future homeowners want to purchase homes right now. And since we didn’t have any other foreclosures really happen, the inventory was actually a lot lower. People were moved from Cali, New York and all the hotter markets. They were moving to Dallas because we had the cheaper home prices, but all those people were moving here and they were all bidding on the same homes, which made the home prices go up even higher. So 2021 was probably a great year or for anybody that was in real estate. Or even if you just started in real estate, you probably made a lot of money.
What does that mean for 2022? I think that people are going to still continue to migrate from Cali, New York, some of those higher price markets down to Dallas to try to get better deals. That being said, we still don’t have a huge amount out of inventory because there are still a lot of foreclosures that are in the backlog that they haven’t actually foreclosed on. So that’s going to continue to keep the prices going up. I don’t think that it’s going to be as hot as 2021, but I think if the interest rates stay pretty consistent, there will be a lot of people still purchasing homes in 2022, especially in the summertime because that’s when people usually like to purchase homes.
But, as I said in my last video, you never really know. There’s always unexpected events that happen that could possibly change the trajectory of what the real estate market looks like in Dallas-Fort Worth. So I guess we just got to wait and see what it looks like, but from what I’m seeing right now, I think 2022 is going to be a pretty hot year for real estate. I don’t know if it’s going to be as high as 2021, but I think it’s going to be a good year if you’re looking to get into it, if you’re already in real estate, or even if you’re looking to purchase a home, because I know that rents are so high right now to where it’s kind of ridiculous to be paying $1,400-$1,500 for a place that you don’t actually own when you can purchase a home and pay that same amount for your mortgage each month.
As always, if you’re interested in learning a little bit more about what we do, you can go to our website, NOW Property Investments LLC
