Utah County Homes, Market is Back! The New Boom

I get asked every day, “How are Utah County Homes and the Real Estate Market doing?”  The short answer is — The Utah County Homes are on fire, and the Real Estate Market is great!    But that is a difficult question that might be better answered with some follow-up questions.

  1. Are you looking to sell?  If so, you might be surprised at what your house is worth.  Housing prices are headed up, quickly.  I would love to give you a Free Market Analysis for your neighborhood so that you can get an idea for what your home is worth.  Click here.
  2. Are you looking to buy?  There is no better time than now!  Interest rates are still low.  As you can see from the graph, housing prices are headed up, quickly.  The longer you wait, the more you can anticipate spending.

If you or anyone you know is looking to buy or sell Utah County homes, have them contact me.  A picture is worth 1,000 words.  Here’s an infographic about the real estate market in Utah that shows the boom, the crash, and the new boom.

Home Sales 4.4.13

The real estate market for Utah homes peaked in the 2nd half of 2007, and crashed in 2008.  (Incidentally, I met my wife in the latter end of 2007, and married her in the 2nd quarter of 2008.  For about  4 years, the market took a big slide.  For some reason, she stuck it out for me!)

Notable From Infographic:

  • Peak median price 2007:  $250,000
  • Market bottom median price 2012: $190,000
  • Last quarter (2013 Q1) median price:  $215,000

You don’t have to be a statistician to see that prices are headed up, quickly.  Why?

  1. Record Low Interest Rates.  Mortgage rates are nearly half of what they were just 6 years ago.  How long they will stay down is a good question, but it is certain that they can’t stay down much longer.  They are already creaping up.
  2. Short sales and foreclosures.  During the 4 years of real estate declines in Utah, the whole economy was in a slide, and many people couldn’t afford their homes.  Many people were forced to lose their homes to foreclosure, or to walk away from their homes in short sales.  There was a lot of inventory of bargain real estate for a long time.
  3. Inventory.  As just alluded to, with inventory and low interest rates, bargain hunters snatched up good deals on real estate.  Now, the inventory is low.  More people are looking to buy.  Supply Low + Demand High = Rising Prices
  4. More buyers.  Many people who lost their homes to short sale are recovering financially, and their credit scores are improving from the hits they took when they walked away from their homes 4 and 5 years ago.  So, not only do we have the natural influx of buyers (college graduates, newly weds, etc.), we also have recovering short salers who are trying to buy homes now.  Even more demand.
  5. Better Economy.  As all aspects of the economy improve, people naturally have more money in their pockets to spend.  More money, more competition, higher prices.

It’s good to see the economy heading up again.  If you or anyone you know is looking to buy or sell Utah County homes, contact me!