Are Home Prices going Up in Tooele County
Are home prices going up in Tooele County? That’s a question I hear a lot.
It’s also an answer that any buyer or seller of Tooele Real Estate should be interested in.
The answer is yes, but, more so in some area than others. As many of you know, most of the housing inventory that is bought or sold in the county is located in 6 major areas.
These are the population hubs that make up the bulk of households in the area. There is some activity in West Wendover, but it is so far out of the market area that we rarely include those stats in any articles or posts we write. With that in mind, this post will just deal with national numbers and an effort to suggest pricing trends in those 6 cities in our county.
We are sharing a post that talks about a pattern of price appreciation for homes across america, share some stats and trends with you and then show what is happening with house prices in the individual cities that make up the active cities in Tooele County.
Overview of Home Prices Nationally
Recently there has been a lot of talk about home prices and if they are accelerating too quickly. In some areas of the country, seller supply (homes for sale) cannot keep up with the number of buyers out looking for a home, which has caused prices to rise.
The great news about rising prices, however, is that according to CoreLogic’s latest US Economic Outlook, the average American household gained over $11,000 in equity over the course of the last year, largely due to home value increases.
The map below was created from CoreLogic’s report and shows the average equity gain per mortgaged home from June 2015 to June 2016 (the latest data available).
For those that are worried that we are doomed to repeat 2006 all over again, it is important to note that homeowners are investing their new found equity in their homes and themselves, not in depreciating assets.
The added equity is helping families put their children through college, and even invest in starting small businesses, allowing them to pay of their mortgage sooner or move up to the home that will better suit their needs now.
CoreLogic predicts that home prices will appreciate by another 5% by this time next year. If you are a homeowner looking to take advantage of your home equity by moving up to your dream home, let’s get together to discuss your options!
Tooele City Home Price Comparison:
There were 25% fewer homes sold in the city in January of this year than in Jan. 2016. Average cost per square foot last year of $83.57 was increased this year to $98.15, an increase of $16.87. On a 2000 square foot home the price increase this year from last would be almost $34,000.
Grantsville Real Estate Price Increases:
The number of sales in Grantsville UT this year was less than 60% of last years activity. The good news is that homes sold for 99% of listed price and for over 25% more per sqft than 2016.
Stansbury Park Sales Prices Reviewed:
Price per square foot in Stansbury went from a little over $90.00 to about $99.00. That’s about a 10% increase in sales price, which equates to $18,000 on a 2,000 sqft house or condominium. Other good news here is for sellers that got 100% of asking price.
Price Increases in Erda UT:
No home sales were recorded this year in Erda Utah, so a comparison is not available yet. Most of the listings are new construction however with large lots, so prices will probably reflect the increase in material costs to builders as well as the premium made possible from the limited inventory.
Look At Prices in Lake Point:
Only one sale was recorded in Lake Point and was so different in terms of size and lot size that no comparison can be made.
About Prices in Stockton Utah:
Even during the best of times, analyzing the market in Stockton by just comparing numbers is tough.. Lot size, age and analysis of services makes it impossible to paint with a broad brush. If you are considering buying a home in Stockton be sure you are working with an experienced agent that can suggest a fair offer. If selling, use your agent to determine the correct asking price.
What I Think About Tooele Home Prices:
My take on the price of houses out here is simple. They are going up, and at a brisk rate. Value will continue to increase unless we see a drastic change in interest rates.
I also see an uptick in new home construction based on the lack of inventory and this addition to buyers options will also work to cool off these unusually high price increases.
Buying or selling a home out here will require the help of an experienced agent. I’d like to apply for the job. Check me out on my website, then call me Berna Sloan 435-840-5029.
I know more about Real Estate than are home prices going up in Tooele County.