When people find out that I'm a Realtor® the first question they always ask is, "How's the market?" And I have good news- it's AMAZING!
From an economic standpoint, Utah is stellar in comparison to the rest of the nation. According to the Utah Key Economic Performance Indicators on utah.gov, Utah saw a 3.9% increase in jobs over last year, and ranks first in the country, with the national average being 1.9%. Also our unemployment rate continues to be one of the lowest, ranking 6th, at 3.6% unemployment as of September 2015, with the nation being at 5.1%. From all standpoints it seems as though the upward trend in our economy will continue, which is why Utah is such a hotspot for people moving from out of state. Utah has been one of the fastest growing states consistently for the past seven years. In the past 15 years alone 700,000 people have moved to Utah, and projections estimate our population will grow by 1 million to 2.5 million new Utahns by 2050. More people = more demand for real estate = higher home values.
To give perspective compared to when the housing market hit rock bottom, home prices are up 42% over Q3 in 2011. The National Association of Realtors states October was the 14th consecutive month we've seen increases in number of homes sold over the previous year. UtahRealEstate.com shows that the median sales price for homes in Salt Lake County in Q3 was $280,000, which is up 9% from $258,000 last year. Even better, our average sales price at Keller Wililams SLC was up 23.3% over last year! That's incredible! We must be doing something right. If you're looking to sell it's a great time to take advantage of the high home prices and cash in on your equity!
So we know we've been selling a lot of homes, and home values have been increasing...what does that mean for buyers? According the the National Association of Home Builders, 7 out of 10 homes sold in Salt Lake City during Q3 2015 were affordable for people making the median family income, which is $72,200. There are affordable homes out there, even for first time home buyers! Not to mention interest rates are phenomenal right now, so buyers are qualifying for more house than they would otherwise. They say the rule of thumb is you lose 10% of your buying power with every 1% interest rate increase, so with the expected rise in rates NOW is the time to buy! In fact, there are so many buyers jumping on this opportunity that it's gotten quite competetive to find that perfect house, which is why now more than ever it's crucial to have a good real estate agent to give you an edge over other buyers. Bonus for those of you looking to sell your house and buy something else - this is the perfect opportunity to get top dollar for your current home and take advantage of a lower interest rate for your new one.
To answer your question, "How's the market in Salt Lake?" It's an opportune moment for both buyers and sellers right now, and I recommend you get in on the action!