The National Association of Realtors sees signs that the housing market could normalize in the new year.
Even though interest rates are rising, they say rates will still stay historically low — and that comes with perks.
"Interest rates will lock in for the next 30 years and (buyers) know exactly what your payments are going to be," said Jessica Lautz with the National Association of Realtors. "If you are renting right now, your rent is likely to increase next year, and that's going to stay, along with inflationary pressure that's probably going to increase as landlords know that they can really increase that rent, and that's going to be difficult."
The National Association of Realtors predicts more inventory coming to the market next year. That could help slow down rising prices.
The association says the most important thing potential buyers need to know is how much to save and have for closing costs and down payments. Buyers should also track the fundamental changes brought on by the pandemic that can allow them to look for properties in less expensive areas.
"The other big thing that's different is the idea of what people want in their home, because CEOs are allowing that flexibility for remote work, and that's going to continue for the foreseeable future — at least a hybrid schedule that allows buyers to look at overlooked areas that they probably counted out in the past," Lautz said.