Welcome to our 2022 Q4 and Annual Market Report
As another year comes to a close, it’s time to take a closer look at the real estate market and see how it performed. In our annual report, we’ll cover home sales, prices, market supply, and price per square foot.
A key trend in the real estate market in 2022 was a continued increase in home prices.
As a result of the increase in home sales, combined with a shortage of inventory in many major markets, home prices continued to rise, reaching new highs in many areas. According to data from NAR, the median home price in the U.S. increased by 8.7% in 2022, compared to the previous year.
The increase in home prices can be attributed to a number of factors
including (relatively) low interest rates, high demand, and a shortage of inventory. With more people qualifying for mortgages, competition for homes has been fierce, driving up prices at a more accelerated rate over recent years. Additionally, the pandemic’s presence in recent years has caused many people to re-evaluate their priorities, leading to greater demand for larger homes, bigger yards, and other features that have taken a front seat in the needs vs wants list.
Despite any economic challenges, the real estate market in 2022 remained strong, continuing to grow and reach new heights. According to NAR, the real estate market in the U.S. grew by 6.2% in 2022, compared to the previous year. This growth was driven by a combination of low interest rates, high demand, and a shortage of inventory, as well as a continued rebound from the economic impact of the pandemic.
Looking ahead to 2023
The outlook for the real estate market remains optimistic. Recent interest rate cuts have many people eager act sooner than later, while all signs point to demand for real estate holding steady throughout the year.
Please take a moment to read our comprehensive 2022 overview of the state of the real estate in the markets we serve across the Carolinas.