Eugene Bernshtam is a true real estate market expert who has an uncanny ability to predict the housing market’s future. We asked Eugene to share some of his thoughts about the real estate market in the year 2022. His insights are very interesting and may turn out to be on point with reality.
1) First-time buyers of properties under 100K
This is the right way forward for the housing market. Many first-time buyers, millennials, and Gen Y kids will significantly impact the real estate scene in 2022. They will be ready to buy properties costing less than 100K. This is a great sign for any economy as this generation will start taking its own decisions from then onwards, including buying homes of their own. All signs point to the fact that there will be no shortage of demand for low-cost homes in 2022, which is also expected to drive up housing prices beyond $200K. So 2020 is looking very bright indeed!
2) Millennials and Gen Y kids are future real estate moguls
The Millennials and Gen Y kids are expected to contribute significantly to the real estate market by 2022. These kids are tech-savvy, and it is assumed that they will take to online platforms for investing in real estate. The rise in their disposable income in the next few years will help create a huge number of demand-side (buyers) forces, which will improve liquidity in this sector. Money invested in real estate can be minted back as rent, with an expected rental market growth by 2022.
It is also assumed that various developers will offer liberal discounts to woo these early buyers in this decade. As a result, these new homeowners will help promote social mobility and contribute positively to the economy as a whole, including creating job opportunities for others.
3) Millennials and students will be looking to buy properties
According to various surveys carried out in the past few years, it is believed that the Millennials and Gen Y kids are going to be ready and willing buyers for properties costing $300K or more by 2022. This demand-side force will also push up prices beyond $300K as there won’t be a shortage of buyers. In addition, banks and financial institutions will also approve loans for such expensive properties as the assets have a tangible value that can be used as collateral by the lenders.
4) Real Estate prices going up to $300K?
The government is promoting the real estate sector under the ‘Housing For All initiative. It is expected that the prices of properties will go up to $300K due to such efforts. Continued progress across various cities under this initiative and support from other financial institutions and banks is expected to push real estate prices up by 2022.
5) Non-residential real estate is also on track for growth
The commercial and non-residential real estate market is also expected to grow in the next five years. There will be a huge demand side (buyers) force for such properties as there will be an increase in business activities and employment opportunities at that time, which will boost their prices into the stratosphere.
