The largest percentage of the city's population falls in the 25 to 39-year-old age group. South Salt Lake rent had the largest monthly growth rate, up 5%. There was a 98.0% sale-to-list price, down 2.7 points year over year. My current forecast is that mortgage rates will trend lower as we move through the year. Rapid population growth and job growth are the two most important drivers of housing demand in Utah right now. How Much Does Home Staging Cost: Home sellers spend $755 $2,844 on home staging. While the city limits encompass 110 square miles, downtown runs nearly two miles from east to west and nearly two miles north to south. The median sale price was up 5.6% in September 2022 Y-O-Y, but the number of homes sold dropped 26.7%. This explains why Salt Lake City has some of the fastest-growing rents in the country. It also makes the Salt Lake City housing market unusual in the demand for homes with multiple bedrooms suitable for large families. All you have to do is fill up thisform and schedule a consultation at your convenience. Of all the major U.S. metros, Miami was the most searched for destination among homebuyers looking to relocate between Dec '22 - Feb '23. A few sellers are still in a dilemma considering the slow market, high inventory, decreasing home prices, and increasing mortgage rates. Multiple options make it easier to get a loan. Still, you can manage to buy a house and get a better deal. million Redfin.com users who searched for homes across more than 100 metro areas. Ogden was third with rent climbing 15.7%. Real Estate Housing Market: Will the Housing Market Crash? Salt Lake City's population is also very young. However, the author does not make any representation or warranty, express or implied, as to the informations accuracy or completeness, nor does the author recommend that the attached information serve as the basis of any investment decision and it has been provided to you solely for informational purposes only and does not constitute an offer or solicitation of an offer, or any advice or recommendation. A record 56% of homes sold above asking price during the four-week period ending May 1, up from 47% a year earlier, Redfin says. In January 2023, 17.5% of homes in Utah sold below list price, down 27.8 points year. The number of newly listed homes was 1,952 and up 1.8% year over year. Housing Market Forecast 2024 & 2025: Predictions for Next 5 Years March 2, 2023 by Marco Santarelli Housing Market Predictions for Next 5 Years The housing market is a crucial component of the US economy, and predicting its future trends and fluctuations can be difficult, especially as external factors can influence the market. As a result, there are chances that the housing supply will remain low. Is this the right time to sell? . Throughout the last decade, Salt Lake City has seen a significant increase in development, from City Creek Center to 111 Main, these and other developments have played a crucial role in improving the vibrancy of downtown. We strive to set the standard for our industry and inspire others by raising the bar on providing exceptional real estate investment opportunities in many other growth markets in the United States. Lowering your debt-to-income ratio will help you easily qualify for a mortgage preapproval when applying for a loan. Rich Sarkis, co-founder and CEO of real estate data firm Reonomy, told Inman that in the medium-term, data will be everywhere and using it will be . Utahs November unemployment rate is unchanged at 2.1%. Tonya Basset, head of Homies buy side agent team doesnt believe that Utah is in a housing bubble, and hesitates to call it a bubble not wanting to give people bad flashbacks to the housing market crash of 2008. uf. In the fourth quarter of 2022, the number of homes sold in the areas covered by the report fell by 45% compared to the same period the previous year and by 27.8% compared to the third quarter of 2022. The Baltimore real estate market is promising and shows a new increase of opportunities for both buyers and sellers. 51% of homeowners still believe that now is a good time to sell a home. A high or growing percentage of homes selling above listprice indicates that the housing market is competitive and bidding wars are becoming more common. More houses were sold in 2020 than in any prior year, putting 2021 on pace to be the second-highest sales year ever. uu. Discover why Utah is in a sellers housing market, what will happen to home prices in the next year, and how to navigate buying and selling a house in the current Utah housing market. The forecasts center around a baseline prediction of a 4.9% decrease in United States GDP in 2020 and a subsequent 5.7% increase in 2021. People are also ignoring the appraised value and waiving the inspection fees. Provo: Similar to Ogden, Provo may experience some slight declines over the next year, with decreases of up to 0.4%, followed by a modest recovery with a 0.4% increase by January 2024. Yes, it's only. increase. Florida Real Estate Forecast Next 5 Years: Will it Crash? Couple that with a high school graduation rate, and a large number of college graduates and you have an attractive workforce for many large companies. In fact, the $400,000 house in Utah with four bedrooms and a yard looks cheap when you sold a two-bedroom condo for 50% more than that in California. The largest percentage of the city's population falls in the 25 to 39-year-old age group. Since 1996, housing prices in Salt Lake County have increased at an average annual rate of 5.1%. Investors in the Salt Lake City real estate market can buy land to develop or invest in housing projects being built in expectation of workers who will soon move to the area. Housing Market Crash: What Happens to Homeowners if it Crashes? Listing activity fell 8.3% from the third quarter, but that wasnt surprising given seasonal factors. Selling your house wont happen in a day, and in the current market youll be hard pressed to find another house in the time it takes to sell your house so be patient and take your time to make those home improvements the absolute best and go ahead and enjoy those improvements while youre at it. On average, the number of homes sold was down 34.8% year over year and there were 1,765 homes sold in January this year, down 2,708 homes sold in January last year. As the Fed attempts to control inflation by increasing mortgage rates. Let us know which real estate markets in the United States you consider best for real estate investing! If youre planning to sell your house and buy a new one in Utah this year, youll need to be ready for a vigorous exercise in patience and decision making. The Future Of Homebuying: Three Predictions For 2025 More From Forbes Feb 11, 2023,11:26pm EST Jennifer Lopez Lists Sprawling Bel-Air Estate For $42.5 Million Feb 10, 2023,06:25pm EST More. Know exactly whens the best month to buy a house. Therefore, these forecasts should be taken as a general indication and not a guarantee. An added bonus of an energy efficient house is less noise pollution especially if you live in a big city. Utah's population grew by 18.4% over the past decade, making it the fastest-growing state. According to a Bankrate analysis of Labor Department data, Utah also posted the second-strongest job growth in the nation from December 2019 to December 2020. Median listing prices were 3.6% lower than in the third quarter, suggesting that higher financing costs may have created a price ceiling. Here are the key takeaways from the data: Looking at the median home prices for Utah, we can see that there are some variations across the different counties. Salt Lake City requires landlords to get a business license, even if they own one rental home. And there are signs that the city is starting to turn around. Vernal: Vernal is expected to experience steady growth in the coming years, with gains of up to 1.7% by January 2024. In August 2022, lenders repossessed 3,938 properties in the United States through completed foreclosures, also known as real estate owned, or REO. Idaho ranked #1 in FHFA State House Price Indexes. The Utah housing market does not yet significantly favor home buyers but, given the data discussed in this report, it has certainly shifted away from sellers and into neutral territory. Sell FSBO, Sell your home now! Disclaimer: The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Houzeo Corp., its affiliates, or its employees. The demand continues to rise as more buyers jump into the market. Basset does say that Utah buyers should be ready for a brutal market when it comes to stepping into the Utah housing market, to know what exaclty youre getting into, and make sure you get an amazing agent. You must make the deal look more attractive to sell your house in a slow market. This ongoing scarcity of inventory explains why many buyers are still forced to bid up prices. Officials say that the average price per square foot has gone up 22% from $208.33 to $254.62. If the mortgage rates continue to rise and houses stay on the market for longer, the real estate market value will continue to fall. Know how to get the best deal while selling a house. If one of these variables is taken out of the equation, the bubble pops. Want to sell a distressed property? Best Time to Buy a House: Know exactly when it is best to buy a house! Long-term demographic and economic growth has generated rapid increases in housing prices in Salt Lake County. The 2023 Official UTAH Housing Forecast in Salt Lake City. 1 housing market in the nation for 2022. TREC:Info About Brokerage Services,Consumer Protection Notice. Utahs median home price remains well over the half-a-million-dollar mark. A change in family dynamics can significantly impact your decision to sell your home. If the federal reserve successfully keeps inflation under control and eases up on its impulsive rate increases. In the latest quarter tracked by them (2022 Q1 2022 Q2) Salt Lake City appreciation rates were at 4.02%, which equates to an annual appreciation rate of 17.06%. A low or shrinking percentage of homes selling above list price suggests that the market is becoming less competitive. The Utah housing market is amid a major shift. 3,051 homes were sold in Utah in January 2022, down 7.2% for January 2021. As a result, supply increases, and prices drop. Theyre also willing to waive inspection fees and ignore the banks appraised value of the house. It is measured by reviewing mortgage transactions on single-family properties whose mortgages have been purchased or securitized by Fannie Mae or Freddie Mac. According to Walletinvestor's Salt Lake real estate market research, home values will decrease in the next 12 months. Downtown Salt Lake City properties near the Mormon Temple command a premium, but that isnt the only upscale market in the area. Selling FSBO is more popular and high-tech than ever. Why are houses so expensive in Utah? A housing market bubble refers to a steep incline in prices with increasing demand and limited supply. The best time to sell a house is when youre ready to move. 1,260 single family and multi-family homes were sold throughout Salt Lake County in March 22. Supply surges when builders continue to build, irrespective of the lowering demand for houses. This data does not reflect actual moves. Downtown is the oldest district in Salt Lake City, Utah. After several years of low interest rates, Americans overall will see rates trend up throughout 2022. People are moving there due to the lower cost of housing, good quality of life, and outdoor recreation. People are also coming from New York, Boston, Vermont, Austin, Texas, and other cities, according to local real estate agents. This dataset excludes all rentals data. Is real estate housing market slowing down in UT? According to current data of median home prices: Highland's real estate prices and its market environment have . Also, get secure & powerful listing using Houzeo Mobile App. In January 2023, home prices in Utah were down 2.8% compared to last year, selling for a median price. The direction and pace at which housing supply changes indicate whether the options for buyers are increasing or decreasing. At an annual rate of 2.6%, this was the slowest pace of growth since the state started recovering jobs post-COVID. And with a variety of affordable homes in high-quality neighborhoods, it is a market that is not yet closed to first-time home buyers. Utah housing market has been ranked as the nation's #1 housing market for the strongest pace of job growth, along with low unemployment, low mortgage rates, few mortgage delinquencies, and low state & local taxes, according to Bankrate.com. In December, prices were up 24%, just slightly below the largest gain of 27% in June and theres no sign yet of a slowdown. Buyers finally have market power. Compared to the third quarter of 2022, average home prices fell in every area other than Summit County, where they rose .8%. The rapid appreciation witnessed over the past two years may have begun to decelerate as a result of rising financing costs and deteriorating affordability. Overall, the Utah housing market is expected to continue growing steadily in the coming years, with most areas experiencing positive price growth through 2024. When it came to selling their home, 86% of sellers used the services of a real estate agent. Salt Lake City is the 151. largest city in the United States, located in Utah State. Utah's housing market has boomed during the pandemic, and Utah has emerged as a particularly desirable market. There has been a gradual decline in homebuyer interest. Realtor.com recently named the Salt Lake City region as the expected No. Eviction for nonpayment of rent can get someone out in two to four weeks. With the observed trend, higher interest rates could cause a 10% drop in home sales next year. Utah market trends and housing statistics. All rights reserved. Explore multiple ways to sell your home fast for cash. 2020 further increased that number to almost 73% as median home sales prices reached $380,000. Statewide, housing prices increased by 27%, shattering the 43-year-old record of 20.1% set in 1978, Figure 1. Home sales are down by 26.7% year-over-year, and National Avg. This was down 45% compared to the same period the previous year and down 27.8% compared to the third quarter of 2022. No. Utah Home Sales In the final quarter of 2022, 5,145 homes sold in the areas covered by this report. The supply of newly constructed houses has yet to return to pre-2007 levels. To get the highest and best offer on your property, it is necessary to invest in repairs and renovations. Connect with an Agent Carbon County has the least expensive housing market in Utah with a median price of $184,000. Nerd wallet expects rates for fixed-rates mortgages to rise and then fall to about a 4% increase and stay steady there. Builders arent helping the situation as they permit for homes at record levels but cant complete the houses because of labor and material shortages. More people live and work in the downtown area than ever before. A generation of millennials in their late 20s and early 30s are coming of age and getting ready to buy their first house. Yes! , The direction and pace at which housing supply changes indicate whether the options for buyers are increasing or decreasing. Dejan Eskic wouldnt say Utah is in a housing bubble either, instead he explains that Utah has a large demographic of 20 to 30 year olds ready to get out and live their life which is why Utah is seeing this housing shortage at the moment. can also indicate whether homes are lingering on the market or being sold faster than sellers are listing them. The bubble pops up when the equation is reversed. Zillow's year-over-year home value forecast data to adjust the (2) typical home value in each state in . Other counties saw more modest increases, such as Salt Lake County, which saw a 14.8% increase, and Summit County, which saw a 13% increase. The median sales price of a single-family home in the county has increased from $378,500 in 2020 to $460,000 in 2021, an average annual growth rate of 21.5%. Either way, knowing your profit potential and purpose is the first thing to consider. If you are going to price your home high, there are chances that you may detract potential buyers. These rates have priced many buyers out of the market as theyre at record highs in more than 20 years. Is Salt Lake City a Good Place For Real Estate Investment? Continued historically low mortgage rates and a solid recovery from the pandemic predict that the Utah real The Utah housing market is amid a major shift. To get the top dollar value for your money, its beneficial to focus on the local housing market in Utah. The Utah real estate market saw mixed trends in 2022, according to the data provided by the Utah Association of REALTORS. The board predicts home prices will continue to climb between 10-12% in 2022. price indicates that the housing market is competitive and bidding wars are becoming more common. Statewide, housing prices increased by 27%, shattering the 43-year-old record of 20.1% set in 1978, according to the Salt Lake Board of Realtors. People nowadays are putting down thousands in non-refundable deposits and offering $30,000-$100,000 above the asking price. Recent sellers typically received 100% of the listing price, and 38% reported lowering the asking price at least once. The average time it took to sell a home in the counties covered by the report rose 27 days compared to the same period in 2021. The average months of supply is 3 months, up 3 year over year. To buy or finance a house, it is necessary to be in a stable financial condition. As a result, the monthly mortgage payment will remain high, and homes may look less affordable. According to the report by Windermere Real Estate Chief Economist Matthew Gardner, the Utah real estate market has experienced a slowdown in the pace of job growth, with the state adding 43,300 jobs over the past 12 months at an annual rate of 2.6%. Keeping this in mind, Interest rates are still low, which might lure prospective buyers into entering the market. Buying a home might not build equity as quickly as expected. A large number of Californians are relocating to Utah, putting extra pressure on the supply side. However, despite the fluctuations, the market remains strong in some counties, and it will be interesting to see how these trends develop in the future. Why are people moving to Utah? ye votes Vote Now . The economy is strong and the city has one of the lowest unemployment rates in the nation. Millennials and Hispanics are in their prime buying years. However, there were a few counties where the median home price decreased from 2021 to 2022, such as Beaver County, where it decreased by 5.7%, and Iron County, where it decreased by 11.4%. St. George: Despite some minor fluctuations, St. George is expected to continue to experience positive price growth, with gains of up to 0.9% by January 2024. Salt Lake City is the number one spot for this years top market list because of its healthy economy and low unemployment rate. The UT housing market has been red hot since the pandemic, but it is cooling fast. This puts constant pressure on the Salt Lake City real estate market. Nearly half of all jobs in the state and 40% of the states population are located in Salt Lake County. Based on the data provided by Zillow, here is a forecast for the Utah housing market. With mortgage rates at peak, buyers are already resisting entering the market. Like the rest of the state, Salt Lake City Downtown is benefiting from the regions healthy economy. Average time for a house to be on the market is 16 days, though most of the time it sells in the first 5 days. Housing Market Update: Home Prices Fall Annually For First Time in a Decade As Mortgage Rates Pass 7%, The Typical U.S. Home Changes Hands Every 12 Years, Down From 2020 Peak, Market Recovery Hampered by High Housing Costs, Low Supply in January, Housing Market Predictions 2023: A Post-Pandemic Sales Slump Will Push Home Prices Down For the First Time in a Decade, Redfin Predicts a More Balanced Housing Market in 2022, Housing-Market Mayhem: U.S. Home Sales Likely to Hit Record High of $2.5 Trillion In 2021, REDFIN IS COMMITTED TO AND ABIDES BY THE FAIR HOUSING ACT AND EQUAL OPPORTUNITY ACT.
utah housing market forecast 2025