On The Market 8: 2022 Housing Market Recap: Will It Get Worse Before it Gets Better?
When we talk about recession indicators, we usually talk about things like housing price drops, mass layoffs, heavy unemployment, and overleveraged consumers. It seems like every time you turn on the news, someone is touting a return of the great recession, without much to back it up. Since the housing market plays such a pivotal role in the economy, we decided to have a housing market recap with our expert investors Henry Washington, James Dainard, and Kathy Fettke, to see if their metrics point to a recession.
In a strange time like 2022, almost every real estate investor is starting to get nervous. Home prices continue to rise, and inventory is almost as low as it’s ever been, but at the same time, high interest rates don’t make buying expensive homes attractive anymore. Is there still any juice left to squeeze in this year’s housing market, or are we on a fast track to foreclosures, price cuts, and peak buying opportunities for investors?
In this episode, we’ll touch on it all so you can stay confident in these wild times. Dave and our panel of experts will explore why showings have dropped for new homes, unemployment rate updates, “data traps” you can fall into, how tech stock slumps pose a threat to real estate, and how to adjust your numbers when money costs more.
In This Episode We Cover
The current housing market supply and demand and what it foreshadows for the future
What the “recession indicators” are saying and why it differs from mainstream thought
Inflation, employment, and which industry may have layoffs lying around the corner
The “lock-in” effect causing most homeowners to hold instead of sell
What a “recession” would look like in 2022 and planning for price drops
And So Much More!
Links from the Show
Join the Future of Real Estate Investing with Fundrise
Lowering Your House Flipping Costs During High-Inflation Times
Dave’s Interview with Daren Blomquist on Foreclosures
Connect with Dave and Our Panel of Guests
Check the full show notes here: https://www.biggerpockets.com/blog/on-the-market-8
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