‘New normal’: Home prices rise to new record nationwide. Here’s how to navigate the market in 2022

SPOKANE, Wash. — The frenzied housing market hit new levels. Home prices went up 16.9% in 2021 — the highest jump on record according to the National Association of Realtors. To tackle the market in 2022, you may want to try some new approaches.

It was a good year for home owners who saw their home value go up over $50,000. However, it was even tougher for people to break into home ownership.

“Home affordability is so important for the future generations because how are our children going to afford to be able to live here anymore?” asked Marianne Bornhoft. She’s been a local realtor for 28 years and doesn’t see the market shifting too drastically in 2022. “It’s just going to unfortunately be a new normal.”

To keep up with the new normal, a new approach could go a long way. She’s seeing some buyers:

  1. Choose a smaller home, condo, or townhome.
  2. Consider a manufactured home.
  3. Go in on a purchase with friends.

“I am seeing best friends buying homes together, and they’re sharing a house,” she added.

The reality is that there aren’t enough homes to go around. Spokane’s sitting at around a 10-day supply of homes. In years past, a three months supply was healthy. She says zoning changes could free up more opportunities for families. Legislation is working its way through the statehouse this year. She doesn’t suggest people wait out the market for things to crash. The circumstances aren’t the same.

“There’s so much equity in the homes, so you’re not going to see the house prices lower. You’re not going to see the desperate sellers like we had ten years ago,” Bornhoft said.

The prices of homes are varying throughout Spokane, and she says there are hidden gems all over our neighborhoods if you stay committed to securing your dream home. Here’s the average local home sales from around Spokane, according to December’s MLS Data.

  1. Spokane Valley’s average: $424,726
  2. South Hill’s average: $456,550
  3. Northwest’s average: $407,250
  4. Northeast’s average: $359,026

She says buyers are more motivated during the winter, and sellers aren’t always accepting cash offers first. While the market is so competitive, try to think outside the box.  If you give yourself the freedom of looking at options you may have not thought of at first, finding a home in the Inland Northwest is possible.

You can connect with Bornhoft if you’re in need of a local realtor HERE.