Conclusion

Less Urgency To Buy Residential Real Estate as more people get outside of their homes and are drawn back to other activities. Robust cities will remain very strong and prices should stabilize for the short term as more inventory emerges. The exodus from metropolitan areas should subside and second home markets are likely to experience a softening.

Real estate has appreciated at an above-average rate through late 2021 for three reasons–scarcity, utility, and demand. Scarcity: there is a shortage of 6.8 million housing units. Utility: the home is now the center of the remote workers’ world by being both the office and gym. Demand: Millennials are America’s largest generation, in their prime home-buying years.

Sales continued to increase over last year and prices remain stable. After the halfway point of the year, many people do not buy more than one home at a time, so I expect to see fewer showings, fewer offers, and less-aggressive offers.