2022 Predictions for Real Estate

Predictions for 2022:

• Mortgage Rates Will Increase
• Continued Tight Supply Of Homes (Livermore & Pleasanton)
• Rents Will Go Up

Predictions are always something I roll my eyes at because after all, nobody knows the future. However, we can look at trends to get an idea of what potentially could happen.

1. Rising Rates will cool the market, maybe: 2021 was a year that saw continued month after month new records in home prices. The sharp increase was fueled by low rates and aided to a 15 year high in sales. The Fed doesn't really like this and has signaled they will raise rates in 2022.

2. Few Options To Build Locally: Look around the Pleasanton Valley and Livermore Wine Region. Our landscape is simply beautiful. This time of year we have green hills, vibrant vineyards, parks with open space and basically nowhere else to build. There are a few small developments, but few and far between. This creates huge demand in an already hot market nation wide.

3. More Investors Bought Properties: 2021 not only saw a rise in prices for owner occupied homes, but investors were picking up homes too. In 2021, sales to investors of single family homes rose to 18%. They will be looking to maximize profits moving into a new year.

4. Your Home Is Your Hub: In 2020 I wrote an article about how Home is the HUB and it was short, but to the point. In 2022 we will see stronger demand for dual office space, kids spaces and in focusing on these areas, a future bumpy road for office real estate. Many of my clients work from home and have a limited need to return to the office. Home spaces for work, exercise, relaxation and fun will be a top priority.

5. Our Homes of The Future: No, I'm not talking about Metaverse, but you can buy, rent and develop virtual real estate now... I'm talking about your future and how you see your home. What has 2021 taught us about our homes, lifestyle and overall what we want from our homes? I argue that the Livermore & Pleasanton Valley are the best options for people looking for the perfect value. Outside of the Silicon Valley and San Francisco sits a community with two vibrant downtowns, great schools, great commute access on 580 & 680 (if needed) and pretty much everything you could need. Great restaurants, amazing golf, wineries, hiking trails, kids activities and a great community feel.

Making a move in 2022? Call Tyler Moxley 925.518.1083

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