Utah Home Value Trends
In the past few months, you’ve probably heard your share of doom and gloom predictions for the US housing market: the bubble is bursting, average home values are plummeting, the market is taking a big hit, etc. This is not the case. Looking at the nation’s real estate market as a whole, it’s all too easy to generalize about the state of the market. But let’s face it, knowing the median home value in the US or how much mortgage rates have dropped won’t help you. (However, if you’re curious, the median home value in the United States in 2006 was $221,900.) If you’re thinking of buying or selling a home, then you’re looking in a specific geographic area, and that should be the market you’re looking at. Real estate is an investment, so it’s always good to think about what your home is worth 5 years after you move in; if you want to be able to predict it in any way, you’ll have to look at the region you’re in. Studying the market, employment rate, economy, and attractions of an area is a good way to determine the value of home prices and the real estate market over a period of time in a given area.
Right now, Utah, with its capital Salt Lake City, is probably one of the fastest growing states in the US seeing the allure of Utah, which is what has kept its average home values and market high. booming real estate compared to the rest of the country.
With plenty of room for its agricultural products (cattle, dairy, hay, and turkeys) and industrial areas (aircraft, machinery, mining, food processing, electrical equipment, and tourism), Utah has a strong economy with low unemployment rates. In fact, Utah’s unemployment rate hit an all-time low of 2.3% in 2/07 and only increased slightly to 2.5% in April. Median home value in Utah is also relatively low, about $152,118 in April, which is about $30,000 MORE than March. With an estimated median household income in 2005 of $53,226, Utah’s income growth and home value growth appear to be rising steadily together, rather than being far ahead of each other like most states. Joined.
Perhaps it is Utah’s attractions that keep people coming back, wanting to become residents, which in turn helps keep home prices high. After all, Utah is home to the Mormons and Temple Square, a 3-block radius in Salt Lake City, which tells the story of the Mormon pioneers, is its most popular tourist attraction. As with any big city, Salt Lake City also has great nightlife to offer. If you are a bit more adventurous and you like outdoor activities, Utah is definitely for you. Go hiking, biking, golfing, boating, or camping in its lush landscape. You can visit the Navajo Tribal Park for history and culture as well as the many National Parks found in Utah.
And definitely don’t forget about snow conditions: Utah has a lot of snow, so you can ski, snowboard, snow tube, etc. You can also visit the largest saltwater lake in the Western Hemisphere: Great Salt Lake. Take your time exploring beautiful areas, because the more people a place attracts, the more new residents it attracts, the less land you have, but the higher the median home value.
Utah already leads the nation in home value appreciation and this sustained increase in the housing market continues to defy the national trend. Just about three years ago, Utah had the worst home value appreciation in the country. Much of the state’s housing boom is, in fact, due to Utah’s low cost of living, low unemployment rates, and growing job opportunities. Job growth in the state is one of the highest nationally. Average home values continue to rise in Utah, but most experts predict it will level off somewhat, since levels this high cannot be sustained indefinitely. Already in certain areas, gradually rising mortgage rates and stricter credit standards are making it more difficult for buyers. For now, Utah is a growth state and it hopes to continue: As long as job opportunities remain available and home prices are fair, Utah should have a booming market for quite some time to come.