Colorado Springs, which boasted the nation's most popular ZIP code this year for single-family home sales, also will have one of the country's hottest areas for housing in 2022.
A forecast released this week by Realtor.com, the California-based online real estate service, estimates that the Springs will have the 15th best housing market next year out of the 100 most populous U.S. metro areas.
Colorado Springs and other cities were ranked based on the pace of home sales and home price appreciation that Realtor.com estimates will take place in each metro area next year.
The Springs will see a 10.3% increase in sales in 2022 compared with 2021, Realtor.com estimates. Prices, meanwhile, are expected to rise 5.2% on a year-over-year basis. That's a combined percentage change of 15.5%, according to the Realtor.com forecast.
Salt Lake City, with an estimated sales and price increase of 23.7%, ranked No. 1 in the forecast, followed in the top five by Boise, Idaho, 20.8%; Spokane, Wash., 20.5%; Indianapolis, 20.4%; and Columbus, Ohio, 20%.
Still, some local real estate agents wonder if Realtor.com's forecast underestimates how much home prices will climb next year in Colorado Springs.
Based on sale and price information that he tracks for the Springs market, Eddie Hurt of ERA Shields Real Estate said local single-family home prices have increased 18.5% this year compared with 2020.
Because the demand for housing remains strong, and the supply of homes for sale is tight, expect another double-digit percentage gain in housing prices in 2022, he said.
"A 5% increase in prices sounds very low," Hurt said of Realtor.com's forecast. "I think it will be closer to 10% to 12%. (That) would be my forecast for next year."
When it comes to the forecast of home sales in Colorado Springs, Hurt suggests Realtor.com is too high on its projected increase.
Why? Because there simply aren't enough properties available for purchase, he said.
Monthly inventories of homes for sale have been at historically low levels for much of 2021, according to Pikes Peak Association of Realtors figures and data compiled by The Gazette.
Through November, Springs-area home sales totaled 16,716 for the year, according to last month's Pikes Peak Association of Realtors market trends report.
And though home sales are on pace for a record year in 2021, they're only running 4.7% ahead of the same period last year.
In general, Colorado Springs' ranking on the Realtor.com list of top housing markets in 2022 is another plus for the area — though it also could mean the region is about to become even more crowded, Hurt said.
"Anytime you make it on any kind of list like that, people just automatically assume that's good," Hurt said. "And so, I think for the most part, that means it is good. It shines a positive light on Colorado Springs and that it's a great place to live, which it is.
"But you could also argue," Hurt said, "that it means more people are going to be like, 'wow, that looks like a nice place to live. Maybe I should be moving there, too.'"
Realtor.com's 2022 housing forecast followed its August report that tabbed Colorado Springs' 80916 ZIP code on the southeast side as the nation's No. 1 area for home sales in 2021.
That No. 1 ranking followed Realtor.com's selection of nearby 80911, which covers unincorporated Security-Widefield, as the nation's hottest ZIP code in 2020.