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Will the Real Estate Market Crash in 2022?


After a year of record home-price growth, insanely low commercial property cap rates, and fierce competition in both residential and commercial markets, many wonder if the real estate market will crash in 2022. After all, record-breaking growth can't last forever -- at least that's what history tells us. But will 2022 be the year? Here's what the data is showing us.

Supply and demand is the largest driver for real estate prices. Low-interest rates brought buyers to the market in droves, but low supply drove home prices up at record levels. While there is definitely a real estate deficit in many markets, the data doesn't paint a clear picture of how bad the deficit really is.

Image source: Getty Images.

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Source Fool.com

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