Plan to buy a house in 2022? The good news is that conditions won’t rapidly get out of control the way they did last year. The bad news is that supply remains tight and prices are still on an upswing — and the likelihood of higher mortgage rates looms on the horizon.
“There’s still a lack of homes for sale, so it is a seller’s market, but the houses that are overpriced are tending not to move,” said Ralph DiBugnara, CEO of Home Qualified, an online real estate information and lending resource.
The adjustments are unfolding against a backdrop of interest rates rising as the Federal Reserve targets inflation in a big way. Making it more expensive to borrow tamps down demand in the aggregate and can help rein in inflation, but what can be good for the economy on a macro level can be painful for individual buyers, who will find themselves paying more to service their mortgage debt.
Read more at NBC News