Will You Lose Money Buying a House Now in Metro Detroit

 Thinking of Buying a House This Winter in Metro Detroit? 

No 1 question in Metro Detroit, will they lose money when Buying a House in 2022? ~

If you’re thinking of buying a home in today’s housing market, you may be wondering how substantial your investment will be. You might be asking yourself: if I buy a home now, will it lose value? Or will it continue to appreciate going forward? According to experts, the good news is that home prices are not projected to decline. Here’s why.

With buyers still outweighing sellers, home prices are forecast to continue climbing in 2022. Why the continued increase? Due to higher interest,  just at a slower or more moderate pace. It’s the simple law of supply and demand. When there are fewer items on the market than there are buyers, the competition for that item makes prices naturally rise.

And while the number of homes for sale today is expected to improve with more sellers getting ready to list their houses this winter, we’re certainly not out of the inventory woods yet. Thus, the projections show continued appreciation, but at a more moderate rate than we’ve seen over the past year.

Here’s a look at the latest 2022 expert forecasts on home price appreciation:

What’s the biggest takeaway from this graph? None of the significant experts are projecting depreciation in 2022. They’re all showing an increase in home prices next year.

What Does Buying a House Mean for Home Price Appreciation? And here’s what some of the industry’s experts say about how that will play out in the housing market next year:

Brad Hunter of Hunter Housing Economics explains Buying a House:

“. . . the recent unsustainable rate of home price appreciation will slow sharply. . . . home prices will not decline. . . but they will simply rise at a more sustainable pace.”

Essential Read from Danielle Hale from realtor.com agrees:

“Price growth is expected to move back toward a normal range, but this is on top of recent high prices, . . . So prices will [still] hit new highs. . . . The pace of price growth is going to slow notably . . . ”

While home price appreciation is expected to continue, it isn’t projected to be the record-breaking 18 to almost 20% increase the market saw over the past 12 months. Overall, it’s important to note that price increases won’t be as monumental as they were in 2021 – but they certainly won’t decline anytime soon.

What Does That Mean for You When Buying a House?

With motivated buyers in the market and so few homes available to purchase, the supply and demand imbalance will continue to put upward pressure on home prices in 2022. And when home price appreciation is in the forecast, that’s a clear indication your investment in homeownership is a sound one.

Know Your Housing Market Trends and Predictions by City When Buying a House 

Every month we update the live 3-year live trends by city. Equally important is how long it takes homes to sell in your City and Price Range. You also have access to custom data for Sold Homes, so you don’t have to rely on Public Websites Estimates. Easy access and communication, call or text 248-343-2459. It’s essential if you’re Buying or Selling is to Know the Market You’re In and Your Negotiation Power