Lightstone’s forecasted scenarios suggest
home values could rise by between 3.4%
and 5.1% in 2022
Freehold properties – especially in the Luxury
market segment – could end the year with HPI
at over 5% if high economic growth and lower
interest rate increases prevail. This is typically
because a large portion of these higher
valued properties have bigger mortgage loans
attached to them, and are therefore more
responsive to positive changes in the
macro-economic environment.
The Mid-value market segment entered 2022
on a discouraging downward HPI trend and is
set for a difficult recovery – especially under a
low growth economic scenario where HPI for
this segment might drop to just 1.5%.
