Rising prices and rates are driving up mortgage payments which are pushing up demand for rentals.

Massachusetts home listings continued to decline in December, as sales prices reached new highs and homes sold in record time. But what does that mean for 2022?

New homes and existing homes are appreciating at similar rates, according to a new report from CoreLogic.

Rent growth also slowed in December, posting the lowest monthly increase since February 2020.

“December saw sales retreat, but the pull back was more a sign of supply constraints than an indication of a weakened demand for housing.” — NAR chief economist Lawrence Yun

While multifamily starts surged 13.7% compared to November, the pace of new single-family housing construction slid 2.3%, according to the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.

December housing sales fell lower than they have since the start of the pandemic, a new Redfin report found.

“While lean existing home inventory and solid buyer demand are supporting the need for new construction, the combination of ongoing increases for building materials, worsening skilled labor shortages and higher mortgage rates point to declines for housing affordability in 2022.” — NAHB Chairman Chuck Fowke

The cost of living has risen across the nation, but some U.S. metros have experienced particularly significant increases.

“MBA expects solid growth in purchase activity this year, as demographic drivers and the strong economy support housing demand,. However, the strength in growth will be dependent on housing inventory growing more rapidly to meet demand.” — Mortgage Bankers Association associate vice president of economic and industry forecasting Joel Kan

Despite the record low number of homes for sale, prices and pending sales continue to rise.

Housing prices continue to exacerbate ongoing affordability challenges, as home appreciation continued to accelerate in November.

United Van Lines 45th Annual National Movers Study found the reasons behind the moves are pandemic-driven as people look to relocate to lower density areas and closer to family. 

At the same time, the average 30-year fixed-rate mortgage rose to 3.33%, its highest level since April 2021, the Mortgage Bankers Association said.

Stacker compiled the list of the most expensive homes in the Boston-Cambridge-Newton area using Zillow’s Home Values Index as of November 2021.

Inflation concerns are influencing plans for homebuyers and sellers, according to a recent Redfin survey.