Read today's headlines: Real estate forecasts for 2022 are here!

Trying to predict what will happen in the residential real estate market in 2022 is a bit like trying to predict the weather months in advance, but although the future of home sales and development has become increasingly unpredictable, real estate professionals continue to advocate for their clients.

We talked with the leaders of Atlanta real estate agents to understand their views on the path of the industry. Although buyers' preference for more space-whether indoor or outdoor-still exists and supply chain issues continue to stifle housing construction work, other factors, such as the potential rise in interest rates, are expected to change the rules of the game in 2022. Check out our Q&A with some of Atlanta’s top players to learn more about their plans for the next 12 months.

* Kelly Allison, Senior Vice President-Southeastern, New American Fund

* Massoud Atallah, Regional Vice President of Coldwell Banker Realty

* Brian Berman, owner, Mortgage Atlanta

* Jeremy Collett, Executive Director of Guaranteed Rate Capital Markets

* Todd Emerson, general manager, Harry Norman, real estate agent

* DeAnn Golden, Regional Manager and Senior Vice President of Berkshire Hathaway HomeServices Georgia Properties

* Christa Huffstickler, founder and CEO of Engel & Völkers Atlanta

* Kristen Jones, agent owner, RE/MAX Around Atlanta Realty

* Sherwin Loudermilk, founder and president of Loudermilk Homes

* Shannon Wilmot, General Manager of Sales at RE/MAX Tru

Jones: Yes, the market will remain strong. Demand is still high, supply is low, and there is no end in sight.

Wilmot: Yes! Inventories continue to be at historically low levels, and builders have still not built enough houses to meet demand. Low interest rates only add fuel to the fire. 2022 is expected to be a great year for the real estate industry.

Huffstickler: We expect the market to be slightly balanced, but high demand continues. As mortgage interest rates remain low, people are returning to the office, and potential home buyers expand their savings to secure suitable homes for themselves and their families in the new year. As we enter 2022, demand may again Soaring. Inventory levels are still high and more important than what we have seen in recent history, and we don’t expect this situation to change until the supply of new construction houses surges. In Atlanta, our population has increased by more than 75% in the past 15 years, and the city is getting bigger day by day, so the problem of supply and demand here will be more prominent than the whole country.

Emerson: All the current signs indicate that 2022 will be another good year for Atlanta's real estate industry. The factor causing this situation is the continuous imbalance between supply and demand. Inventory is still at a historically low level, and low interest rates are driving demand from buyers. Atlanta is the seventh-ranked metropolitan area for net immigration in the United States. Atlanta’s growth rate is currently ranked third in the country, with good job opportunities and continued strong interest in home ownership. It will support a strong housing market in 2022.

Kim: Of course. All the key indicators we have been tracking point to a very strong residential real estate market in 2022. Prices rose by 14.8% last year, and there is no obvious sign of slowing down, because inventory is still low and buyer demand is still very high.

It is worth noting that inventory is a wild card in 2022; the overall outlook for the residential real estate market in the near future depends on whether the available inventory can support growing demand. We are beginning to see an increase in inventory levels, which is a positive indicator of our 2022 outlook. The average and median sales prices continue to exceed the 2020 figures, and in many cases have achieved double-digit positive growth. This is undoubtedly good news for sellers who want to maximize the value of their properties in the coming year.

Looking ahead, I think there are several factors that will be "good" in 2022: Although interest rates are slowly rising, they are still at historical lows; as I mentioned, prices are expected to appreciate by 2022, the National Association of Realtors® predicts The rate of price appreciation next year is 15%. Buyers who enter the market in early 2022 will get a tangible return on investment, while sellers who put their homes on the market will profit from these record price increases.

With the vigorous development of the single-family housing market, it is expected that the second-home market will also flourish. By 2022, the growth of vacation and second home purchases will continue to maintain a relatively high level. We will see more buyers seeking respite in mountain and lakeside properties, especially as people increasingly value flexible remote work, which increases the demand for second homes. In addition to being an extraordinary investment and wealth creator, owning a home can also provide intangible benefits such as happiness, satisfaction, and the confidence to know that you have achieved the American dream!

Wilmot: We made some changes to adapt to the pandemic. Many of our agents now use virtual sales tools and tours to attract new buyers. We have to review every contract because the pandemic shut down the country, because many people lose their jobs and shorten their working hours. Our preferred lender works hand in hand with our team to ensure that we always pay attention to all parties involved.

Some of our sellers adjust their business practices by adding upgrade clauses and selectively posting the time when houses are available for purchase. Of course, safety is not only a concern of our real estate team, but also a concern of the public as a whole. We have implemented a security protocol and provided our team with as much information as possible to make it safe for those customers who still want to visit our model house. We plan to continue to use our virtual sales skills and security protocols until 2022, and I don't expect any major changes in 2022. I do see a change in 2022 that, due to rising prices, builders are more confident that they will start selling more home construction supplies and prices will stabilize. Supply chain and labor shortages may continue to be problems in 2022.

Golden: The Georgia Association of Realtors has played an important role in ensuring that real estate agents are considered "essential service providers", which enables real estate professionals to continue to provide services to consumers throughout the pandemic. Our sales staff maintain social distancing in a safe environment, or use technology to implement virtual screenings and digital open days, collaborative video conferencing, electronic document transactions, and drive-through closures. This is the "right choice" because it prevents the market from shutting down completely and brings extremely practical innovation to our industry. Despite the severe challenges, we are still able to persevere. As we move forward, many digital systems we have developed will continue to provide buyers with more efficient housing search, selection, evaluation, negotiation, and ultimately the next process move. For sellers, we now have a more streamlined digital way to market houses and complete transactions, providing incredible value to all parties involved. Looking to the future, we focus on combining high technology with high-touch relationship services and professional market knowledge to create the most seamless and valuable real estate experience for buyers and sellers.

Atallah: In response to the challenges facing the real estate industry in 2020, Coldwell Banker Realty in Atlanta has implemented a shift to virtual learning, marketing and business development, using technology to showcase houses, work with customers, ensure listings, and manage transactions. Despite the pandemic and its inherent challenges, agents have the skills and resources to organically generate listing leads to manage their business and generate stable income. In response to inventory requirements, Coldwell Banker Realty will continue to pay attention to the needs of sellers.

Huffstickler: Our team is committed to preparing our buyers for the current and future markets as the residential real estate landscape is constantly evolving. We have been able to quickly adapt to market changes, and this epidemic has shown us the value of this approach in this environment.

Jones: At the brokerage level, we are ready to support agents and their customers in a virtual way. Some agents are already using our tools, such as online margin deposits, but the pandemic has increased the adoption rate. In the coming year, we will resume more face-to-face meetings/events and reduce Zoom.

Emerson: In the past two years, we have made many changes throughout the business, and these changes will continue after the pandemic. We have introduced advanced technology to simplify our services for agents and customers, and at the same time make our luxury service the core of all our work. Market insight and analysis have always been important. As market dynamics change, we pay more attention to this so that our agents are always the advanced source of all real estate knowledge and intelligence.

Huffstickler: Don't let your fingers leave the pulse. Buyers are looking for our expertise to navigate the ever-changing trends in this market, so we need to fully understand what is happening in each community and region in which we operate, such as how external factors such as commercial development affect the local market or how housing pricing should be It is to get the most interest and the best deal.

Golden: As always, put the best interests of customers above everything else. This commitment is unwavering and rooted in our ethical code as REALTORS®.

At Berkshire Hathaway HomeServices Georgia Properties, our President and CEO Dan Forsman instilled a basic vision for our company, which is "the right choice." This is critical to our decision-making, the services we provide to our customers, and the culture we have created among more than 1,500 sales professionals and teams, brokers, employees, and support teams. With the mentality of making the right choice, we will always be successful as real estate professionals.

In addition, "the right choice" is not only our determination to put customers first, but also our philosophy of focusing on relationships rather than transactions. Real estate is a people-oriented business, and our customers are the core and soul of everything we do. When they succeed, we succeed; this is a simple equation. This requires cultivating relationships before, during and most importantly, after the transaction and in all future relocation and family service needs of each client. Listening carefully and fully understanding the client's real estate goals and dreams of owning a house can deepen this connection and enable us to guide them with empathy, intention and care. The real estate relationship does not end when the transaction is signed; the real estate relationship lasts forever.

Emerson: In any current market dynamics, the ability of agents to keep in touch with their fields/contacts is always the most important. Various advancements in technology have clearly helped agents to do this faster and more efficiently through artificial intelligence, automated tools, social media, etc. However, if you peel back layers and in-depth understanding of what the most successful agents do today, human connections and face-to-face interactions are still a huge factor, and they continue to drive their business and ultimate success.

Atallah: Since 1906, Coldwell Banker agents have been guiding sellers through the entire process, equipped with local expertise, exclusive tools (such as RealVitalize and RealSure), and the most advanced marketing materials to maximize the return on investment for customers’ houses , While alleviating the pressure of the housing sales process. The brokers of Coldwell Banker Realty regularly study changes in the real estate market, and they are still the ultimate resource for consumers, which helps them succeed.

Jones: Agents need to hone their skills, focus on the customer experience and strive to stay in touch with their sphere of influence.

The "right choice" ideology makes sense. When you choose trusted advisors for your finance, health, or accounting, you won't choose them for an instance and move on. You choose these professionals because you want to build a lasting relationship with them; the same applies to real estate. As REALTORS®, we must cultivate the same trusted advisory role. At Berkshire Hathaway HomeServices, our goal is to be your Forever Agent™. We provide comprehensive services for all aspects of real estate under a globally renowned brand trusted by global customers-brokerage, mortgage, property rights, insurance, house warranty, property management, relocation, new house and business services. This is why we will always be the agent and the right choice for every customer we serve.

Wilmot: We see a surge in the purchase of new homes in 2021, which makes it easier for new construction agents to sell. In 2022, agents need to focus on the basics to succeed. Some of the basics include understanding your buyer profile, understanding your community and competitors, and most importantly, following up. Cultivating and following up with potential customers you have is the key to new construction and resale real estate. You never know when the potential customer will decide that it is time to buy or sell a house. If you are following up with them, when they are ready, you will most likely be the first person to call. Social media has become a huge sales platform for real estate, and I suggest that anyone who wants to grow their business in 2022 needs to have a strong online influence. Although this may be daunting for some people, there are many resources available to help you learn and grow, so they can finally complete the task.

Atallah: Everything around the Atlanta ring road has been rising recently and will continue to evolve with new construction and reconstruction. In addition, we have been seeing the return of international buyers, which may have an impact on Atlanta as in the past, and may have an impact on the luxury goods market.

Wilmot: The most popular neighborhoods will be located in the suburbs of Atlanta. The number of buildings in areas south of the city (such as McDonough) and the area to the south of Macon has increased significantly. As housing prices continue to rise, new home buyers are further looking for affordability. Many people now work from home, they can choose where to live, they don’t need to be in traffic jams every day, and they can afford to move farther.

Huffstickler: West Midtown has been hot for most of the past five years, and we will continue to see buyers flooding into the area for top entertainment and dining options. The development of attached housing in this area has increased significantly. This is perfect for more and more millennials who seek the feeling of neighbors when starting a family, but also want to be close to action. Corporate investment is another important factor here. Microsoft's Westside Development and other major companies have moved to the area to take advantage of the huge opportunities to create a unique environment for employees.

Jones: There are listings everywhere.

Golden: Real estate is always about location, location, location. Now, home is safer than ever, and it is where we live, work, play and enjoy life. The ability to increase wealth through real estate investment is really "hot" now! Finding a community that suits your desire for the community, a house of the right size for your growing family, or an ideal location with the facilities and functions you want is the real estate agent® is the ideal professional to help you realize your lifestyle Reasons to dream.

Golden: Technology enables real estate professionals to evolve from gatekeepers of property information to trusted guides. They can strategically help consumers make the right decisions when buying, selling, investing, leasing, or any other real estate services that clients may need The choice. Technology has created a wiser consumer, but it has also created a more capable real estate agent® whose marketing, financial, and relationship capabilities are different from what our industry has seen before. By 2022, I predict that we will see technology further advance the way we sell houses, connect with consumers, use the power of data to predict trends and increase transaction efficiency. Like I said, real estate is a people-oriented business, so we will never see technology replace considerate real estate agents® or savvy real estate negotiators who help clients sell their childhood homes, who can screen multiple offers And find the best sellers for them, but this will add a new layer of abilities to our skills and practice.

Jones: Artificial intelligence and predictive analysis, data is king.

Emerson: Consumer needs and desires will eventually continue to drive technological change. Our focus is still on service, so we will continue to improve our technology so that our agents and employees can provide first-class services every time.

Wilmot: I think we will see technological progress from an architectural perspective; builders are incorporating more technologies into houses to make it easier for buyers. Smart home is a big selling point!

Atallah: Technology helps Coldwell Banker Realty agents conduct their business effectively during the peak of the real estate market, especially when many agents work in remote environments. Technology will continue to play an important role, especially when using programs such as Exclusive Look, it can help our agency network better communicate the needs and wishes of buyers/sellers.

Huffstickler: There is no doubt that technology will become a market factor in 2022. Since the pandemic, we have strengthened our virtual connection strategy to satisfy our customers wherever they are. Although face-to-face interaction still has the greatest value, it turns out that technology is an important strategic tool for our properties.

Emerson: Our agents currently lead 18% in unit growth compared to the same period last year, while other markets are only leading 2-3%. We expect similar results in 2022. We have been investing heavily in training, marketing and technology focused on supporting our agents, which in turn benefits the clients and clients we serve in helping them meet their real estate needs.

Huffstickler: Since the beginning of 2017, we have been growing every year, so we don't expect any difference in the coming year. We have top broker talents, an ever-expanding client list and growing market demand, which almost guarantees strong development in the coming months.

Jones: I hope our brokerage business will flourish. Our agency is the most efficient in the industry, and other agencies are also attracted by this success and culture.

Golden: We have witnessed another year of tremendous growth in Berkshire Hathaway HomeServices Georgia Properties. Proudly serving more than 12,000 customers and customers, we continue to see more consumers demanding a fully integrated home shopping or sales experience. Our trusted service partner series provide the complete set of household services needed to complete the transaction, from mortgages, property rights, home warranty and insurance to other services that are essential for buying, selling, investing, and moving.

Wilmot: Our growth is related to the number of new homes we can sell. According to the builders we’ve heard, they will have several communities in 2022, so we do hope to see some growth, but since 2021 is such an important year in general, I expect it to be the same as 2021. The numbers remain stable.

Atallah: By 2021, Coldwell Banker Realty in Atlanta will increase the number of agents by approximately 15%. We expect that this trend will continue with the strategic addition of some of Atlanta's top agents.

Atallah: The influx of new immigrants from two coasts. Atlanta has been recognized as a fast-growing city. Some people choose to move to the suburbs because they do not need to be close to the company's office and are looking for more outdoor space, while others choose to walk in the city, close to sports and entertainment venues. It seems that these moves are offsetting the migration in either direction.

Jones: Yes, because many companies still allow working from home, people still think it's feasible to live in the suburbs.

Wilmot: We saw people migrating to the suburbs and further afield! As I mentioned above, buildings in many suburbs of Atlanta are increasing dramatically. This means that we have more sales opportunities; as builders move further out, our market will only become bigger. Although people will still buy metropolitan areas, the upcoming areas are other markets that we can develop now.

Golden: Our 25 offices in Georgia continue to see healthy development in all markets. Our statewide influence is the competitive advantage and asset of the customers we serve; our sales staff can appropriately assist or recommend anyone who moves into Georgia or outside the state. Due to the international influence of our Berkshire Hathaway home service brand, we can also help customers around the world. The new trend in housing migration is a strong interest in second homes located in the mountain and lake areas of Georgia. We expect this trend to continue throughout 2022, with strong sales of vacation homes and second homes. For those interested in a second home, please visit this link to search for our Berkshire Hathaway Home Services Georgia luxury fall mountain and lake properties.

Huffstickler: As people return to the office and want to be closer to work, we see that the demand for suburban and suburban houses is declining, while the demand for inventory in the city is increasing. It should be noted here that although people want to live in the urban area, they are still looking for outdoor spaces, flexible living areas suitable for working at home, and design details to create a more comfortable environment. Much of Atlanta’s situation can actually only be found in the development of new buildings by builders observing this transformation in real time, so sales in this product category will increase.

Emerson: At some point in the early stages of the pandemic, we statistically noticed some people who "escaped" from the urban core. However, with the city/city center market rebounding in the single-family villa and apartment/townhouse markets, this trend seems to be short-lived. We expect sales in all areas of the Atlanta metro area to show a positive trend in 2022.

Huffstickler: These are the two sides of the coin. On the one hand, there is an influx of new millennial buyers who are eager to own houses at low interest rates, but on the other hand, the industry needs to change our perception of what these buyers are seeking and be prepared to educate them about the actual situation. of.

Golden: At the height of the pandemic, maintaining effective communication and maintaining relationships is crucial to bridging the geographic distance that we must overcome when we are socially alienated.

Today, we prefer face-to-face meetings or phone calls with social security guidelines to email and text messages. Zoom meetings or FaceTime meetings can work, but interacting off-screen and in the real world brings a human element to communication, which is essential for building relationships. Although modern technology is great, it is still different from personal contact.

As for the challenge: this business is not for "amateurs". The confidence of the industry and consumers is challenged by this type of licensing business. Our actions are regulated by law, and we are responsible for protecting the best interests of others and their major financial investments. For many people, buying a house is their biggest investment, and "amateur" real estate professionals will not consider the solemnity of this experience. They also do not have extensive experience or skills to successfully guide clients through often very complex transactions. Due to the constant changes in jobs during the pandemic, we have seen an influx of new "amateur" agents, especially when the market is extremely hot. Some of these sales professionals quickly realized the complexity of this business and invested the necessary time and work to achieve the professional level required for this job. These agents can help us overcome the challenges posed by "amateur" agents.

On the other hand, for local dedicated experts, the opportunities are plentiful, and they are rewarded in helping guide people to their new homes. Real estate is an industry of interpersonal communication and connection, suitable for dedicated and skilled individuals who are eager to help others open a new chapter in their lives.

We often serve people when life changes drastically, whether it is positive or stressful. We consider it an honor to serve these clients with the reliability, knowledge, professionalism, communication and negotiation skills they deserve.

Wilmot: The biggest challenge for agents will be to find something to sell near where they live, because many builders are moving further afield. This can also be seen as an opportunity for those agents who are willing to promote and take on these upcoming new areas. As inflation increases, I think it will be more difficult for lenders to obtain qualified buyers.

Emerson: As the famous saying goes, "The only constant in life is change." This may be the market entry through new business models, new technologies, economic factors, or countless other possibilities beyond our control. Agents/companies that remain flexible, adaptable and agile and maintain a positive attitude will be companies that can thrive no matter what challenges "du jour" faces.

Jones: Considering factors such as supply chain and labor issues, extremely low housing inventories, post-pandemic PTSD, inflation and potential interest rate rises, market and economic uncertainties.

Atallah: The booming real estate market in 2021 has led to short supply, leading to lack of inventory in many US regions, including Atlanta. Continued inventory shortages will have an impact on rising housing prices. Inventory shortages will continue to be one of the biggest challenges the real estate market will face. Brokers need to provide real solutions for home buyers and sellers to help ease concerns during the buying and selling process. For example, the RealSure program provides homeowners the certainty that their home will be sold, the opportunity to sell at the best price, and the ability to help ensure the purchase of the next home. The program allows Coldwell Banker customers to obtain the security of a guaranteed offer, while at the same time providing a strong offer for their next home purchase without participation fees.

Jones: It is not enough to have a working space, but the client is considering how the space is related to other activities at home. In addition, spaces such as home gyms and multiple entertainment/media spaces are more popular.

Huffstickler: As buyers spend more time at home, they want to be close to retail, dining and entertainment venues near offices in the central business district. Walkability is the key here, so the developer intends to locate the community near the exciting city center or in a mixed-use environment that provides these things. They also want stronger indoor and outdoor connections, so access to terraces, terraces, and trail networks is getting higher and higher on the wish list.

Emerson: We must have seen certain trends in buyers looking for houses today. Not only are they looking for home office space, but they often look for space in two home offices, because often more than one person works from home. Home theaters are becoming more and more popular again, especially in high-end and various outdoor living spaces, whether in swimming pools, garden/terrace areas or well-designed deck spaces. Buyers are certainly changing the way they shop, even in the luxury market. At a recent luxury conference, someone shared that by 2022, one in ten wealthy consumers is expected to be willing to buy a house without seeing it in person.

Atallah: People are looking for ready-made houses that can be moved in, and the inventory is low, they are willing to pay extra to get things that do not need to be updated. Coldwell Banker's use of the RealVitalize program allows our agents to provide these upgrade opportunities before the home is on the market without the seller’s upfront costs. This allows sellers to enter the market at a competitive level. Earlier this year, Coldwell Banker’s February “report” pointed out that certain trends in the next five years will have lasting power, including the desire for a home office (28%), the need for a second home (23%) and Desire for single-family houses (23%).

At the luxury level, Atlanta is favored for its diversified, vibrant and eclectic urban atmosphere. In the “New Real Estate Powers” ​​report released by Coldwell Banker Global in October 2021, it was rated as “Golden One of the top markets for millennials is luxury. This group of 35-40 years old accounts for 60% of all luxury homes owned by millennials. They prefer second-tier cities and suburbs because these places can provide them with enough work, study space and convenience facilities.

Golden: Yes, we continue to see requests for "enlarged rooms" or space for two home offices, as well as providing additional work space for other people who may live at home. In this new world where working from home has become the norm, gyms and outdoor living spaces, fire pits, swimming pools and outdoor kitchens are popular features for our buyers.

Jones: Yes, we saw an increase in inquiries for new agents last year because people lost their jobs during the pandemic, or just used this time to finally chase their dreams of entering the industry.

Huffstickler: Real estate offers what many people are looking for at work: flexibility, continuous development and growth opportunities, so I think it is safe to say that the number of real estate licenses issued in 2022 will increase significantly. As more people seek new career paths, the industry is gaining the next generation of real estate giants.

Emerson: As long as the real estate market continues to strengthen, we will continue to see more and more people pursuing real estate licenses.

Wilmot: I can only represent myself here, but if I hear that the real estate market is so busy, I know I will want to get my license. Success in this business does require a special person with a lot of motivation, so existing license agents who focus on basic knowledge and have a strong online influence will not be affected by any new license holders.

Atallah: In the high-end market, licensees continue to grow, but it is also challenging because they cannot succeed immediately. For them, this is certainly a good opportunity to receive education and get the guidance of an experienced agent, because a lot of things have happened and they can use what they have learned.

Golden: We expect to return to a more realistic balance. Many people who worked in real estate during the pandemic or laid off are now reassessing their future. It is not easy to develop a sustainable and successful real estate business. "Hobbyists" are retreating or stepping up to develop the skills and expertise required for this profession.

Golden: The first question is cited above (NAR expects a 15% appreciation rate in 2022).

Emerson: Although I don't think Atlanta will achieve year-on-year growth of 18-20% like in 2021, as long as the imbalance between supply and demand continues in 2022 (which we did not expect), it is almost impossible for us not to continue to see price increases. As far as forecasts are concerned, I have seen 3% to 10% national forecasts, and due to favorable market conditions, I expect Atlanta to be at the top of these forecasts.

Jones: They will continue to increase, but they are unlikely to reach the double digits we have seen in the past year.

Huffstickler: Housing prices may stabilize until the spring soars, and price growth is really concentrated in the new housing market. However, supply will still be an issue, so as demand increases, prices in the resale market will still rise slightly.

Wilmot: We saw a slight decrease in prices in August and September, but in October we saw prices rise again. I think that if inventories and interest rates remain low, prices will continue to rise in 2022. I don't think they will increase at the rate of 2021.

Atallah: The city of Atlanta has been developing, and with it comes environmental issues such as air pollution and the use of high energy and water resources. Being able to connect cities with different means of transportation is a good solution to help improve air quality and expansion. It was recently announced that MARTA Transit Services and Georgia Institute of Technology are working to improve connectivity issues through on-demand solutions. These types of solutions can create more communities and become barrier-free housing options for urban residents.

Wilmot: Our builders are facing these challenges. Due to environmental issues, building codes are constantly changing. These building codes usually also mean an increase in construction costs, so I expect prices to continue to rise because these codes make it more difficult to build houses at the right speed.

Golden: From electrical appliances to paper, building materials, and workers, pressure on supply chain suppliers of key basic housing components may have a negative impact on market results in 2022.

Emerson: As a whole, more and more people continue to emphasize our overall "environmental awareness" as a society. I think we will continue to see more attention shifted to "green buildings", not only in the materials used, but also in how these materials are produced, delivered, and installed. As we continue to lean toward the "environmentally conscious" trend, it will affect how houses and buildings will look in the future. For example, many major car dealers have begun to indicate that they plan to convert their entire fleet to fully electric vehicles. When that day comes, being able to charge these cars will no longer be an "optional" add-on/upgrade, it will become the norm.

Huffstickler: From purchasing energy-efficient appliances to reducing construction waste, home builders are already taking improved methods to incorporate more sustainable features into their development. Buyers are also looking for these elements, so developers will certainly remain vigilant.

Golden: "2022 should be another great year for new home construction," said Lori Lane, senior vice president and managing agent of Berkshire Hathaway Home Services' Georgia Property New Home Division. "Interest rates are still low, and as the supply chain returns to normal, construction delays should decrease. While builders continue to catch up with the pent-up demand for new homes, low inventory is expected."

Wilmot: Yes, Atlanta will continue to be a hotbed of activity in 2022. Overall, we are still under construction; we have more buyers than sellers. Atlanta’s rental market is great. Many renters will eventually want to buy a house, and now we do not have the inventory to serve these future buyers. We need to continue building! 

Jones: As far as builders can purchase materials and find skilled labor, yes. However, before we begin to deal with these supply chain and labor issues, the cost of land acquisition, development, and construction in urban areas is already high. Affordable housing is hard to find, and even harder to build.

Huffstickler: Atlanta has an incredibly conducive business environment, which makes compelling projects start faster than other developing cities. This allows the city to take advantage of new development projects that not only stimulate the needs of locals, but also those who wish to relocate to the Atlanta metropolitan area in the near future.

Emerson: Atlanta's population is expected to increase by 2.4 million people in the next 30 years. The current supply in the resale and new home markets is not enough to meet current buyer demand. The only way we hope to keep up with the future demand created by the 2.4 million people who will call Atlanta home in the next 30 years is to build more homes. For this reason, I think Atlanta will continue to be a hotbed of new construction activity for many years to come.

Alison: We expect to see a slowdown in refinancing activities in 2022. We expect the total refinancing of the entire industry to drop by about 50% to 60%. However, as people’s home equity levels hit a record high, we expect the demand for cash refinancing transactions to increase to fund housing improvement projects, consolidate debt, or create additional liquidity for households.

We will see a continuous increase in purchases throughout 2022; strong demand from first-time buyers in the market. Our advantage in New American Funding is that we are the distributor/service provider of Fannie Mae and Freddie Mac. This allows us to service all of our loans and benefit our customers because we do not have any investor coverage or additional requirements that exceed Fannie Mae and Freddie Mac’s regulations. This allows us to qualify more buyers in our market and put more customers on the track of owning houses. Our focus has been and will continue to center on buying and working with real estate agents and builders in each of our local markets.

Berman: I think we will see several technology companies try to enter the mortgage market; however, I think some of them will encounter problems. Fundamentally, people want a simple mortgage process that utilizes technology; however, they also want to be able to pick up the phone, text, or email a question to a real person who understands them and their scene. Technical lenders are indeed struggling for this. When problems arise in the process, the AI ​​response or "call center" loan officers of the technical lenders do not have the skills to solve these problems. But we will see many local and regional mortgage companies implement more technology in their processes to keep up with the pace of technology lenders. As Fannie Mae and Freddie Mac adopt more technologies in the approval process, we will also see a significant increase in automation, such as computer-driven assessments and computer-driven approvals. We will see many new plans launched in 2022 that will make it easier and more affordable for first-time home buyers.

Colette: By 2022, we will see the industry continue to focus on increasing purchase market share. I expect interest rates to rise, which means that refinancing activities will fall. We will also see the margins of lenders being squeezed, which may lead to an increase in consolidation within the industry. I expect government-sponsored companies (GSE including Fannie Mae and Freddie Mac) to focus on affordable housing. In addition, we are likely to see an influx of new products and new energy sources to expand home ownership opportunities in communities that have traditionally been underserved by the market.

Berman: I think that as interest rates rise, refi production will drop by 50% in 2022; however, borrowers can still save a lot of money by using their equity in debt consolidation refinancing. Through debt consolidation and refinancing, borrowers can save hundreds or even thousands of dollars each month. I think the sourcing business will remain stable in 2022, and if we can let more sellers enter the market, it may even rise. Housing demand remains high, interest rates are low, and incomes increase. 2022 will still be a year of strong housing sales.

Alison: As a whole, the overall output of the mortgage industry will definitely decline. At New American Funding, we are rapidly growing our sales force and continue to add unique products to better serve our customers. We believe that through strategic growth and increased supply of new products, we will be able to maintain or increase our current retail production.

Colette: Although interest rates may rise slightly, I believe they will remain at historically low levels to maintain a favorable environment for home buyers. Professionally, I have gone through about 6-8 interest rate hike cycles, but they are always lower than expected; I just don't think the market can operate at significantly higher interest rates.  

Alison: We believe that interest rates will remain low for the foreseeable future. However, as the Fed slows down its purchases of mortgage-backed securities and U.S. Treasury bonds, we do expect to gradually increase over time. Inflationary pressures will also continue to be a factor. Home buyers should pay close attention to signs of continued inflation, because this means that the Fed will have to take more aggressive action and may raise interest rates faster. It is expected that the interest rate will reach about 4% by the end of 2022.

Berman: I think interest rates will rise at a very small rate in 2022. We will see some growth, but I think interest rates will remain at 3s for most of the year.

Berman: Among our company's regular loans, huge loans and VA loans are our most popular loans. We focus on working with home buyers and creating a very smooth process, and these types of loans are currently the most common. Fannie Mae and Freddie Mac will expand their product offerings and guidelines in 2022 to help affordable buyers. The competition from large lenders will become increasingly fierce, and as the COVID starts to clear up, we will see more lenders enter this area. My favorite type of loan-VA-will remain stable in 2022.

Colette: I think large-scale 30-year fixed-rate mortgages that meet the criteria will continue to exist. As the Fed expects to raise interest rates several times in 2022, we may get a flatter yield curve, which does not bode well for adjustable rate mortgage products. With tighter margins, lower issuance, and GSE's high focus on affordability, we may see a slight expansion of credit.

Alison: With so many homeowners increasing their home equity, we will definitely see them using our various renovation products. Given the number of first-time home buyers in our market, I believe that our down payment assistance and low down payment traditional loan options will be heavily used. In the Southeast, we have a large Latino community, and I expect that our ITIN loan (which does not require a social security number) will continue to be one of our more popular products. We have seen more and more self-employed customers use our internal bank statement plan and our one-year tax return plan. Finally, as sales prices continue to rise, I expect the number of large-scale financing customers to increase in 2022 and 2023.

Alison: We will continue to see progress in the streamlining and digital mortgage application process. We can also look forward to seeing the progress of electronic signatures in closing disclosures. Many lenders use remote online notarization as the final closing document. This will enable borrowers to have a completely remote loan experience. Other technological advancements will help simplify data collection, use technology to calculate income and read important documents such as tax returns. The overall goal is to reduce the cost of issuing housing loans. These technological advancements will speed up this process and reduce the cost of homeowners.

Berman: I think I mentioned a point above, but we will see more technologies enter the market in 2022, but we will still see buyers shopping online but buying locally... Buyers want someone they can talk to, ask questions, and get a real response. Real estate agents do not like to work with large lenders or technical lenders because they do not provide the high level of communication like local lenders. Technology lenders have performed well in the refinancing boom, but I think that as refinancing slows, they will get stuck in buying.

Colette: As the volume of transactions decreases, we may see more resources invested in mortgage technology. We will definitely do this at a guaranteed interest rate. The lower profit margin means that lenders will have to continue to study how to reduce the cost of issuing loans. We should see that the GSE also pays more attention to mortgage technology; some of these initiatives lost their focus during the previous government, with the goal of reducing the risk of the institution and removing it from the regulator.

Alison: At present, the demand in the Atlanta market is far greater than the supply. We expect this to be a trend that will continue until 2022. It will take some time for supply to catch up with the huge demand for current homes and the influx of new residents into the market. This is where we will see new buildings meet some of the needs. Compared to most parts of the country, the cost of living is lower, and we will continue to see the influx of people here as in the past 24 months. That being said, demand may increase even more in the coming year, and we will continue to be busy with the inventory we have. We look forward to growing and serving more customers, allowing families to walk into their homes.

Berman: I think the Atlanta metropolitan area market will continue to see new construction activity in 2022. With population growth, income growth and more first-time home buyers, the new construction industry in the Atlanta area will become strong. The biggest obstacles they must overcome are supply chain issues and borrower expectations. If they can overcome this, I think 2022 will be the strongest year for new construction ever.

Alison: Atlanta will definitely remain a hot market for new construction! The Atlanta metropolitan area has always been a good place for builders, and we don't expect changes in 2022. Many of our builders’ projects are ready. The Atlanta metropolitan area has a high demand for housing and new housing. New American Funding and all of our builder partners are looking forward to placing many families in new homes and improving our communities by owning houses!

Loudermilk: In recent years, we have reduced the number of specification houses we build, mainly custom houses, because families and high-net-worth individuals want their dream houses to be carried out exactly in their own way, with functions such as family cinemas or to support their unique lives Ways and needs of a double home office.

That is to say, we usually build houses of some specifications every year, and they are usually converted into customized ones after they are built. It is important to provide some availability for executives or families who are relocating and need fast housing.

I believe that 2022 will be even busier for us than 2021. This is the busiest year in our company's history.

Loudermilk: Low inventory is a problem. It makes the available houses we own more attractive and difficult to obtain. We have been selling houses faster and the demand is so strong that we have to temporarily suspend our new house contract so that our team has a chance to catch up.

Loudermilk: Supply chain issues are still one of the biggest challenges we face. Certain items, such as stoves, refrigerators and exterior wall paint, are sometimes not available at all. We had to drive from Atlanta to Paint Alabama, and we changed the brand only because another product was available. We bought temporary stoves, refrigerators and faucets so that buyers can move in and move in, and then we will come back in a few months to replace the out-of-stock items.

Our rigorous pre-construction process includes all selections before the start of construction, so we can usually order materials, cabinets, lamps, tiles and flooring in advance. We also purchased several 35-foot metal containers as additional temporary storage space so that we can order more materials.

Loudermilk: Real estate agents are extremely important and valuable business partners of Loudermilk Homes, and they play an important role in our success. The real estate agents we work with help convey our commitment to quality and our 9-step "perfect process", which makes working with us easy and fun. When unexpected problems occur, agents can also proactively increase the transparency between us and buyers, such as supply chain failures leading to delays in progress or rising prices of items such as wood or cabinets.

Loudermilk: Buyers are very concerned about the impact of buildings on the environment, including the materials and energy used to build the house and the energy efficiency of the main systems. We apply the concept of progressive value engineering to every home we build because it reduces costs and optimizes the use of materials. For example, we stack walls to optimize wood and engineered beams, and shorten HVAC operation time, thereby making furnaces and air-conditioning efficient. We also placed the house on the plot and placed doors and windows in a way that takes advantage of natural sunlight patterns and shadows. We also insist on keeping the site clean, because this minimizes waste and saves thousands of dollars for each project.

Loudermilk: Of course—the Atlanta metropolitan area is one of the most attractive places in the United States, where you can support your family, develop your career, and have a high-quality life. It is still much cheaper than other cities on the East or West Coast, and has many major Fortune 2000 employers, an active entrepreneurial and entrepreneurial ecosystem, first-class schools, first-class restaurants and retail stores, mild weather, and countless outdoors Activities and entertainment activities to do. We think 2022 will be a record year for Loudermilk Homes!

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