Pennsylvania Real Estate Predictions for 2022

Photo from the Video Animation Company

Pennsylvania is a state that's well known for being a key piece of history and having incredibly gorgeous forests and dense major cities. Little do many people realize that this state is a key sign of what's to come for the national real estate market in 2022. 

These are the things Pennsylvania expects in 2022 and how they could affect you as an investor.

Home Prices Slow to 4.4% Growth

The value of the average home in Pennsylvania shot up by 11.3% in 2021 and then boosted even further in 2021: but it's expected to settle in 2022. The good thing is the prices won't backtrack, so those who invested can comfortably keep seeing growth.  

Thankfully for those who are buying, we're not expecting another year of an over 10% leap as we've seen for the last two.

Sales Will Slow Down

Sales are going to slow down in 2022 as people become less frenzied and start thinking about properties as solely an investment instead of a way to avoid the pandemic rush and worries that were weighing on people so heavily at the beginning of 2021.

As sales slow down, unfortunately, interest rates may begin to increase to what they were pre-pandemic, so 2022 is a good time to buy if you want a low price with a low-interest rate.

Single Family Homes Still Leading

Single-family homes were king in 2021, and they're expected to continue this reign in 2022. This was mostly due to people wanting their own space away from others, but now many millennials who couldn't afford homes until recently are trying to break off a piece of the American dream they'd been promised since they were kids.

Continued Sellers’ Market

Pennsylvania has been in a sellers’ market for most of the time since 2016, and it's expected to continue this pattern, holding steady through the year. This means that there will likely be far more bidding wars and properties selling for more than the asking price of a property. So if you're interested in a building, it's vital that you act fast, but also that you research before you buy.

Since sales are slowing down, do your research on all Pittsburgh houses for sale you're interested in, and don't be too hurt if something sells before you can put in an offer. There are plenty of homes that are finally coming onto the market after putting it off.

More Flipped and New Build Properties

The supply chain shortage that started at the beginning of the pandemic is slowly ending, allowing people to repair freely, build or update properties that weren't able to be worked on before this year. 

This surge of people updating may cause temporary shortages at the beginning of 2022, but overall far more homes will hit the market than did in 2020 to 2021.

All Eyes are on Pennsylvania

Pennsylvania has had a long time to prove itself, and it's continuing to show that it's a key player in the American economy. The patterns we're seeing displayed going into 2022 will be what plays out on the national stage over the next couple of years.