A Look at the Future of the Real Estate Market – Oswego County Business Magazine

By Steve Yablonski

Kim McPherson

Century 21 Galloway

“Overall, I personally think the 2022 real estate market will be another great year. There will most likely be changes from the past few years, but overall it should be good for buyers and sellers.

“Rates are currently higher than they have been for the past two years. The bubble has burst. The Fed has announced that three rate hikes will take place in 2022. The first has been set for March. The 10-year treasury has hit a year-to-date high of 2% (February 10), which is back to pre-COVID levels seen in July 2019.

“One of the many lenders I work with said he thinks we’ll see another round of rate cuts, but doesn’t predict that until the economy fully feels the pressure of Fed policy. .

That being said, the rates are still pretty damn good when you look at them historically.

“Houses are appreciating much faster than inflation. Thus, we will continue to see values ​​increase over the next few years. People should buy now if they can, lock in current rates as it will protect them from these rising inflation costs.

“That means property taxes have the potential to go up and other expenses can go up, but your monthly housing payment is protected and will stay the same. will only continue to increase.

“As mortgage rates rise, expect some moderation in housing demand, which could force house price growth to slow somewhat. However, the combination of a large number of newer home buyers facing a shortage of mid-level inventory of homes for sale should keep the housing market competitive.

Tom Hagerty

Signature of Lea Century 21

“I think what we’re going to see is sort of a leveling. We won’t see this stabilizing because “all of a sudden” we hit July and now we have a flat line. It’s very likely to be very gradual as far as any leveling goes.

“Because the fact is that housing supply is so low, there would have to be a big increase in housing availability for supply to match demand.

“We have a very positive outlook for 2022. It really depends on several factors. On the one hand, is inflation under control? And, if inflation is brought under control, it is entirely possible that prices will stabilize and we will return to some sense of normalcy.

“If inflation continues to soar, it’s likely that house prices will continue to rise. It’s likely that more people will be in the market to buy homes because they want to buy before they don’t have the means to buy.

“We know where they are marketing right now. We don’t know where we will be in six months. This is definitely going to be an incentive for buyers as well as sellers.

“Rental housing, which is difficult to integrate into the home ownership equation. They are different markets. You have people watching [rental apartments] which would logically be there.

They are young single workers and families who are just starting out or who have just settled in the region. Or, those who are tired of being landlords and just want to get into an apartment so they don’t have to shovel snow.

“But even at that, usually with apartments, what happens is that if they are young new families or single people who have just moved to the area, an apartment is a temporary stopover for them. .

“They plan, in a year, two or three, to access the property. It’s great that the apartments are there. They are definitely needed. They could attract residents who otherwise would not consider [this area] like where they would like to live. It’s an important cog in the wheel of home ownership and the movement toward the American Dream.

Karen Hammond

Agent, Hunt Real Estate ERA

“This year, 2022, started slowly. There are just a high number of buyers there. The problem is that we are running out of inventory. There’s a long list of buyers, but we just don’t have the inventory to show those buyers.

“It’s just one of those things. Everyone is waiting; maybe the weather is one of them, I’m not sure. I’m just waiting right now for some people to give me a thumbs up and list [the properties].

“By preparing, by preparing in this way, you hopefully know that more inventory will arrive so that we can satisfy some of these buyers.

That’s the problem, as long as interest rates are low – that’s one of your biggest incentives right now – that’s a big thing for buyers and when we talk to people we say that now the inventory is so low if you list now you won’t have the competition that you may have to face later.

“At Clay and Cicero, it’s crazy up there. There was a home listed there the other day and speaking with a fellow agent they said they had 65 hits. We don’t get things like that in Oswego County, but we always get multiple offers, houses selling above asking price and mostly in the country, you know, people want to be in the country, they want more space. You therefore find many purchase offers exceeding the asking price.

“Interest rates are rising slightly. But still, they are lower than they have been for years. Still less than 4% so it’s still a good interest rate.

“If people keep listing their homes and the inventory builds up, it will be as busy as 2021. I would say 2022 may have started a little slow, but it’s going strong because the rate of interest is so low right now. It’s still a seller’s market and it’s still strong. You have a house for sale and several interested buyers; one is buying and everyone else is still looking. So it’s still going to be a seller’s market. We just need more inventory. That’s the most important situation happening here.

Faye Beckwith

Real Estate Freedom

“We are optimistic. We’re looking at some potential pike lists that people are discussing with us and see how it goes. I am an optimist. I’d like to think things will be more “normal” again.

“There are people moving out of state…statistically there should be an increase in available housing. I don’t know if that indicates a number of things; maybe related to the economy or the weather. Let’s face it, more people would probably be inclined to move south in January and February.

“There is always a need for housing. The challenge we face, of course, is the availability of houses and prices. The average price a few years ago was under $150,000. That’s high for a median price. Now it’s around $175,000 right now. What can young homebuyers do?

“One of the things that can impact our business is any rentals that become available in Oswego. There are great opportunities for people to live differently from what we have done in the past.

How will this affect a budget house (nearby)? I do not know. It’s hard to say. Everything is unpredictable. We don’t have a crystal ball. »