Will the housing market in Denver remain sweltering in 2022? The market is predicted to appreciate by double digits in 2022 due to continued demand for property and a scarcity of inventory. Denver will see back-to-back years of double-digit appreciation for the first time since 2015-2016 and 1998-2000. This blog will keep you up to speed as the Denver housing market continues to change.
Although the Denver Metro Area is a strong seller’s market, historically low mortgage interest rates have aided buyers in terms of home affordability. It is clear that the current epidemic has had no significant influence on the housing market in Denver. In the metro region, home sales and prices have set new highs.
The mortgage business has been using technology to streamline the mortgage application process, with the goal of improving the customer experience.
2022 Mortgage Trends in Denver, CO
Excellent customer service and great problem-solving abilities are provided by Synergy One Lending and HOA.com. This is a people-oriented industry, and she strives to be someone her clients can rely on. The following are the mortgage trends for 2022 in Denver, CO.
Interest rates are rising.
The Federal Reserve has already stated that it intends to raise interest rates in order to battle inflation in 2022. Rates, which are now about 3.45 percent, are likely to climb at least several times higher. Although the precise amount is unknown, it is reasonable to anticipate that increasing rates will drive up the cost of homeownership in Denver sooner rather than later. The mere possibility of rising expenses will promote demand, lifting property values even further.
Home Prices are increasing.
Denver’s median house value has already risen 19.1 percent in the last year. Despite the quick pace of increase, prices are projected to continue to rise. With only 3.7 weeks of inventory on hand, demand continues to outstrip supply. Home prices might rise another 21.5 percent in the following year due to a supply and demand imbalance.
Rent Increases at Home
Rental rates, like property prices, rise considerably in a year, rising 14.9 percent year over year. However, while the property remains scarce, even more purchasers are anticipated to become renters in 2022. The increased focus should cause rental rates to rise even faster than they did last year, maybe by 16.0 percent.
Over the previous decade, the Denver housing market has been at the vanguard of the national recovery. Most significantly, Denver’s real estate is supported by a solid economy that hasn’t seen its unemployment rate rise as much as the national average. Denver looks to have been spared the worst of the epidemic, which speaks well for the city’s future. In fact, the Denver home market is expected to be one of the first to regain pace following the “shelter-in-place” directives.
READY TO BUY A HOME?
Stacey Dowling of Synergy One Lending outlines the best real estate tactics to get started with real estate investment in today’s market, whether you’re totally new to investing, have closed a few deals, or are a seasoned investor. You can contact her at (720) 637-1956 to make an appointment now.