Columbus forecast to be nation's fifth hottest housing market in 2022

Jim Weiker
The Columbus Dispatch
Columbus-area home sales are forecast to rise 13.7% next year, while prices are to climb 6.3%.

Columbus home shoppers hoping for a break in the hot housing market aren't likely to get it next year, according to a forecast by Realtor.com.

The listing service pegs Columbus as the nation's 5th-hottest housing market in 2022, and predicts that the area's home sales and asking prices will rise twice as fast as national rates.

Housing marketColumbus home prices, sales, jump in October

Demand for Columbus-area homes will remain high because of their relative affordability, immigration into Columbus, the area's high share of millennials, and the region's strong job growth and schools.

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"Columbus has had a strong jobs recovery and that jobs recovery is projected to continue," said Realtor.com Chief Economist Danielle Hale, noting that Columbus has done especially well in adding jobs in STEM (science, technology, engineering and math) fields.

"We also see that it is one of the less dense and crowded markets on our list. That’s something attractive to buyers looking for space."

Despite sharply rising prices in the Columbus area in recent years, the region's affordability also is a draw.

"If you look at listing price, and price-per-square foot, both give Columbus an advantage nationwide," Hale said. "It may not seem like it to buyers, but in terms of prices and share of income required to purchase, Columbus is one of the more affordable markets."

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Realtor.com forecasts Columbus-area home sales to rise 13.7% next year and prices to climb 6.3%.

Despite Columbus' high ranking, the projected price hike would be a big drop from what the region has seen since the start of the pandemic. Through the first 10 months of this year, Columbus-area sale prices are up 12.6%, twice Realtor.com's forecast for next year. 

Hale said price appreciation should slow next year across the country.

Realtor.com's forecast for the 100 largest markets is topped by cities in the Northwest, but Ohio cities fared well. All of the six Ohio other cities on the list landed in the top 40:

• Akron, forecast as the 11th hottest housing market, with 11.4% projected sales increase and 4.5% projected price rise 

• Dayton, 17th, 10.7% sales rise, 4.3% price rise 

• Youngstown, 21st, 7.3% sales rise, 6.9% price rise 

• Toledo, 30th, 11% sales rise, 2.4% price rise 

• Cincinnati, 31st, 7.9% sales rise, 5.4% price rise 

• Cleveland, 39th, 7.8% sales rise, 4.2% price rise 

Demand for Ohio housing is expected to remain high because of the low price of homes in the state and because some markets are attracting out-of-town shoppers.

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"The affordability factor is a good reason," Hale said. "Larger Ohio markets are attracting fewer viewers from outside the market, but some smaller Ohio cities are drawing more."

Nationally, about half of online home shoppers come from within the same metro area, but Toledo, Youngstown and Akron are drawing more, Hale said. In the Columbus area, on the other hand, only 38% of online shoppers are from outside the metro area.

Realtor.com predicts that the nation's hottest housing market next year will be Salt Lake City, followed by Boise, Idaho; Spokane, Washington; and Indianapolis.

jweiker@dispatch.com

@JimWeiker