NOCO market forecast
There is much more to this crazy market than low interest rates. Demographics play an even larger role. The number of people that are currently at prime home buying age is larger than it has ever been in history. The forecasts that I trust the most are calling for rates to average in the mid to high 3’s in 2022. If that is the case we expect another year of significant price growth, likely 8%. Remember that in 2018 rates hit 4.9% and we still gained 7% in NoCo. Once rates do rise into the mid to high 4% range expect the market to cool significantly but big price corrections seem unlikely with so many people needing housing and a supply shortage with no easy remedy.