Interest rates and home prices share an inverse relationship. Housing Market Predictions 2023: Will Home Prices Drop in 2023? It's now the 30th most populated state, with nearly 3.28 million people, according to U.S. Census Bureau data. Based on the data provided by Zillow, here is a forecast for the Utah housing market. Utah's population grew by 18.4% over the past decade, making it the fastest-growing state. The median price of a home in the United States is currently $519,300. A typical mortgage borrower has excellent credit, substantial equity, and a fixed-rate mortgage with a rate well below 5%. Utahs economy continues to add jobs, but the pace of growth has started to slow. The median days on market were 39, up from 36 days last month. It is equally impressive to see that the unemployment rate remained at a very low level even as the state added over 52,400 people to the workforce. of single-family homes sold was 1798. People nowadays are putting down thousands in non-refundable deposits and offering $30,000-$100,000 above the asking price. 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. Salt Lake City was named one of the fastest growing housing markets in the country. A change in family dynamics can significantly impact your decision to sell your home. Real Estate Housing Market: Will the Housing Market Crash? Not just limited to Salt Lake Cityor Utahbut you can also invest in some of thebest real estate marketsin the United States. Millennials and Hispanics are in their prime buying years. 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%. Utah Housing Market Forecast 2025. Typical Closing Costs For Buyer in Utah: Find your Closing Costs Obligations. Utah's economy is currently in excellent shape. How to List a House on MLS: Learn about various ways of getting on the MLS. A typical homebuyer financed 94% of the home price. In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees at the Washington Center for Real Estate Research at the University of Washington; and is an Advisory Board Member at the Runstad Center for Real Estate Studies at the University of Washington where he also lectures in real estate economics. Salt Lake City has seen an increase in housing construction since the economy rebounded. There are still not enough houses. It defines the composition of the population based on age, race, gender, income, migration patterns, and growth. However, it depends on the location. We do not recommend listing with a full-service Realtor as they charge hefty commissions. The Utah real estate market saw mixed trends in 2022, according to the data provided by the Utah Association of REALTORS. Since 1991 Q1, HPI for Utah has increased by 414.95%. According to Realtor.com sales will rise 15.2% and prices will increase by 8.5%. Year over year, prices rose in four markets but pulled back in the other three. I expect the region will continue to see downward pressure on home prices, but a major correction is unlikely. For the eighth month, existing-home sales declined to an adjusted annual rate of 4.71 million. Salt Lake City is the 151. largest city in the United States, located in Utah State. Sales have been declining by massive double-digits. There are currently 8,545 residential homes for sale in the United States. Utah Housing Market Overview and Statistics. To buy or finance a house, it is necessary to be in a stable financial condition. Learn about it so that you are aware. They are well-informed about critical factors that affect your specific market areas, such as changes in market conditions, market forecasts, consumer attitudes, best locations, timing, and interest rates. Affordability issues may impact rapid price increases in 2022, but we may still see another year of a double-digit increase. As mortgage rates are at record highs in 20 years by 7.08%. Utah's job market is robust enough to avoid widespread foreclosures, and housing demand is expected to remain high in 2023 due to the state's rapid expansion and widespread home shortage. 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. READ REDFIN'S, Do not sell or share my personal information. Major Utah cities covered in this report: These Utah real estate reports, data, forecasts, and market trends are provided for informational use. Energy efficiency is about more than just using less energy, it involves making the most of what you do you use and avoiding waste. Highland Housing Market Forecast and Real Estate Price Prediction:, Highland City Real Estate and Home Value Predictons for 2025. tt. Vernal: Vernal is expected to experience steady growth in the coming years, with gains of up to 1.7% by January 2024. A statement made by one of Utah's prominent market predictors, sent a room full or Realtors into a. The Baltimore real estate market has been in decline for years, but several spots offer significant returns. Salt Lake City's population is also very young. Utah Housing Market: House Prices & Trends | Redfin Utah Housing Market Home prices in Utah were down 3.0% year-over-year in January. As a result, leaving no other option than low inventory. The cost of obtaining a mortgage decreases as soon as the interest rate does, which increases demand for real estate and raises home prices in UT. eq. 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. Our Utah real estate market data is updated quarterly to aid in your real estate forecasts. Mortgage interest rates are projected to climb, but only a little. The city is already home to many new startups. Do you sell your house and lose everything youve put into it? Home sales: 3,219 - 26.7% less than a year ago. Investors like flippers and wholesalers also show up and snag investment properties. Current Housing Market Trend 2022: Nationwide, fewer existing homes are selling. When it came to selling their home, 86% of sellers used the services of a real estate agent. Movoto Real Estate is committed to ensuring accessibility for individuals with disabilities. According to the NAR, the rate of home appreciation from August 2021 to August 2022 was 7.7 percent. Utahs nonfarm payroll employment for December 2021 increased an estimated 3.7% across the past 24 months, with the states economy adding a cumulative 59,200 jobs since December 2019. After several years of low interest rates, Americans overall will see rates trend up throughout 2022. Utah's housing market has boomed during the pandemic, and Utah has emerged as a particularly desirable market. If The Housing Market Crashes What Happens To Interest Rates? My current forecast is that mortgage rates will trend lower as we move through the year. What Do You Need to Get Preapproved For a Mortgage:Find out how you can get your mortgage approved digitally. Since the last twelve months, Utah housing prices have gone up by nearly 2.8% Zillow Home Value Index. The state of Utah's population grew 9 percent over the last five years, much of it concentrated in Salt Lake City, where the typical home price at the end of 2021 was $583,858 (ZHVI Dec 2021). However, rates will still be higher than what homebuyers have become accustomed to. Salt Lake City is a moderately walkable city with a population of approximately 186,419 people. Surged mortgage rates and plunged home sales have worried buyers and sellers about the Utah housing market trend 2023. Of all the major U.S. metros, Miami was the most searched for destination among homebuyers looking to relocate between Dec '22 - Feb '23. The following analysis of select counties of the Utah real estate market is provided by Windermere Real Estate Chief Economist Matthew Gardner. The states economy has proved to be one of the nations best in reemploying workers as officials continued to actively encourage those drawing unemployment benefits to seek work in sectors less damaged by the pandemic. Nationwide, 25% of homebuyers searched to move to a different metro area between Dec '22 - Feb '23. There are still insufficient homes. A closing costs calculator for buyers gives you an estimate of your closing costs while buying a house after deducting local closing costs. The grid from which the entire city is laid out originates at Temple Square, the location of the Salt Lake Temple. https://www.zillow.com/salt-lake-city-ut/home-values/, https://www.zillow.com/salt-lake-city-metro-ut_r395053/home-values/, https://www.bankrate.com/mortgages/housing-heat-index/, https://www.fhfa.gov/DataTools/Tools/Pages/House-Price-Index-(HPI).aspx, https://www.fhfa.gov/DataTools/Tools/Pages/FHFA-HPI-Top-100-Metro-Area-Rankings.aspx, https://slrealtors.com/wp-content/uploads/2021/01/2021-Housing-Forecast-Report.pdf, https://www.realtor.com/realestateandhomes-search/Utah/overview, https://www.sltrib.com/news/2021/06/24/hyper-hyper-competitive/, https://www.zumper.com/rent-research/salt-lake-city-ut, https://www.realtytrac.com/statsandtrends/foreclosuretrends/ut/salt-lake-county/salt-lake-city/, https://www.ksl.com/?sid=46284050&nid=1426https://www.buildium.com/laws/utah-evictions-process/, https://en.wikipedia.org/wiki/Salt_Lake_City, https://www.deseret.com/utah/2021/9/16/22677951/utah-homes-sales-are-slowing-but-the-market-is-still-red-hot-salt-lake-county-city-housing-prices, http://www.cbre.us/people-and-offices/corporate-offices/salt-lake-city/salt-lake-city-media-center/cbre-releases-2018-salt-lake-city-real-estate-market-outlook, Housing Market News 2023: Today's Market Update, The Housing Market in 2023: Trends and Insights, Housing Market Predictions | Real Estate Market Forecast 2023, Is it a Good Time to Buy a House or Should I Wait Until 2024, Housing Market Forecast 2024 & 2025: Predictions for Next 5 Years. All you have to do is fill up thisform and schedule a consultation at your convenience. S. Last Updated: February 15, 2022. uk Search Engine Optimization. The latest migration analysis is based on a sample of about two 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 . Realtor.com's forecast and housing market predictions on key trends that will shape the year ahead. Utah's employment landscape is also one of the most impressive in the country. The Zumper Salt Lake City Metro Area Report analyzed active listings last month across the metro cities to show the most and least expensive cities and cities with the fastest growing rents. Americans will have a better chance to find a home in 2022, but will still face a competitive seller's market as first-time buyer demand surpasses the inventory recovery, a press release says. At the same time, the number of homes sold fell 34.8% and the number of homes for sale rose 82.5%. As mortgage rates are at record highs in 20 years by 7.08%. A majority of people dont know whens the best time to buy a house. NAR Chief Economist predicts that Mortgage rates will continue to rise in 2023, but within two years rate should return to 5.5% or 6% percent., He also anticipates that over the next 5 years, home prices will elevate by 15% to 25%. 2020's annual growth rate was 11.8%. Its more likely that as mortgage rates continue to decline, the market will find a solid floor in the summer and prices will resume their upward trend as we move into the fall. 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. vx. 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. Downtown is the oldest district in Salt Lake City, Utah. Rapid population growth and job growth are the two most important drivers of housing demand in Utah right now. In January 2023, there were 8,545 homes for sale in Utah, up 82.5% year over year. Also, The median price of an existing home sold increased to $384,800, an 8.4% increase from a year ago. xm. This data does not reflect actual moves. , Homes that sold above list price likely received multiple offers. Selling a house is not an easy task in a slow market. Utah housing market forecast 2025. Compare that to January 2019, when it was just below $300,000. Windermere Search AppSite Map, 2023 Windermere Real Estate Services Company / All rights reserved / Terms/Privacy / Feedback / Site Map. A home inspector can help the buyer inspect the property thoroughly. This will roughly average the 30-year and 15-year mortgage rates at 8.50 and 7.70, respectively. Thus, home prices rise. Salt Lake City's population is also very young. While some counties experienced increases in the number of homes sold and the median sale price, others saw declines in both categories. The best time to sell a house is when youre ready to move. The median price for a house in Utah in 2021 was $442,200, 24.6% higher than the previous year. Twenty-four of Utahs 29 counties had double-digit gains. Get the list of best for sale by owner homes in your area. These rates have priced many buyers out of the market as theyre at record highs in more than 20 years. pd. In August 2022, lenders repossessed 3,938 properties in the United States through completed foreclosures, also known as real estate owned, or REO. The median selling price was $525,000 for single-family homes, up 1.9% year-over-year. Where there are currently good-paying jobs, new residents are sure to move in. The market is still highly competitive. The median days on the market was 69 days, up 46 year over year. The median price for Salt Lake County is $500,000 which is up 27.6% from 2021. However, Salt Lake City in general is very landlord-friendly. Rich Sarkis. american school system. Is Salt Lake City a Good Place For Real Estate Investment? There was a 98.0% sale-to-list price, down 2.7 points year over year. As the mortgage rate decreases, it gets more convenient for the homebuyer to afford a home. However, it largely depends on the location and the number of rooms you want to stage. It took an average of 55 days to sell a home during the fourth quarter. The bull market that has been in place for quite some time appears to have lost its momentum.