Salt Lake County home prices were a sea of green in the 3rd quarter 2013, with the median price for a single family home rising from $217,900 a year ago to $254,500. The 16.80% median sales price rise was on the back of strong home sales that were up 5.91%. Those homes that sold, were selling really fast, taking just 19 days to sell, that’s nearly 30% faster than the same time last year.
While the vast majority of areas saw their median home price rise, the best performing were Salt Lake City 84102, Holladay 84117 and Murray 84107.
Best Performing Areas
Salt Lake City 84102 up 37.92%
Holladay 84117 up 30.36%
Murray 84107 up 26.25%
Just two zip codes saw a declining median sales price, Sandy 84093 and Draper 84020.
Worst Performing Areas
Sandy 84093 down 3.85%
Draper 84020 down 0.38%
Even with these very impressive increases we did see a slow down towards the end of the quarter, when interest rates spiked and the government shutdown took place. Since then interest rates have come off their highs and government employees have returned to work. We will have to wait and see what impact this will have on the market.
You can visit our website to see a full breakdown by zip code of the Salt Lake County Housing Data.
Home prices are on the rise, and inventories are very low. That makes now a great time to get your house in great condition to command a good price.
Get more money to put toward your next home purchase. Implement these tips to get your home ready to sell quickly at a great price and be ready to find your next place.
1.Make sure you have great curb appeal. Mow your lawn, weed your garden, and clean it up. Do any minor repairs that you can that affect the
approach to your home. Do the same out back. A poor first impression will make buyers more critical on the inside, looking for flaws.
2.De-clutter the inside of your home. Less clutter and neatness signal good care and give the impression of more space. Consider renting a storage unit to store some furnishings and seldom used items to free up space.
3.Make a list of things that bother you about the house, and look for creative ways to fix them inexpensively.
4.Start doing your homework on home values, and consult an experienced realtor for advice. In a low-inventory market, the right home at the right price can sell quickly at a good price. While the realtor is not an interior designer, a good one will know the basics and which glaring problems will cost you in getting the selling price you want.
5.Work out a budget you can invest in repairs and maintenance. Things like painting in a neutral color are relatively inexpensive, especially when you do-it-yourself, and make the space look brighter, cleaner, and more appealing to a wider range of buyers.
6.Have an interior designer do a staging consultation. Depending on your budget, there are designers that will do a walk around consultation and provide a list of suggestions for inside and out. Many will be low cost/no cost, such as rearranging furniture, painting, adding pillows, and re-purposing accessories and wall décor into different places. Look for one that will help you prioritize your list and get the most return from your money.
7.Don’t take any of the staging or cleaning ideas personally. Your home has taken on your taste and is a reflection of you. However, to sell well, it needs to have broad appeal. Not every buyer will have your imagination or design aesthetic.
8.Get pre-qualified for a new mortgage. Most people’s credit and income improves over time, so you are likely to be able to afford more now. Plus, you’ll learn how much you need to make for your down payment to move into the type of home you prefer.
Selling your home is tiring and emotional. It’s also hard work, keeping your home spotless each day for prospective buyers. Dealing with the ups and downs of your mixed feelings can be much easier if you sell quickly at the right price for your needs. Do your homework, make the right improvements that deliver return, and get ready to move to your next home.
Do you need to know the money that you’ll net from your current home to know your buying power for your next home? Call The Libin Group at Veritas Funding and we’ll help you get a clear picture of what to expect at 801.639.9000. Visit utahloanplan.com to learn more!
The true impact of the government shutdown seems not to be that great at the moment (although try telling that to the people who have been sent home), but is really an unknown entity, and the true effect be only start to be seen after a more lengthy period of time. One of the areas impacted that most people will not realize is mortgage applications. Some might say what have mortgage applications got to do with the government. Well it appears that the key area impacted is to do with the IRS and the issuing of tax transcripts. This is required by the secondary mortgage market for all loan applications, and at the moment the IRS has stated that they will process any forms, thus holding up mortgage applications until the service is available again. Here is a summary of implications for the mortgage market:
1. The IRS has indicated that it will not process any forms, including the issuance of tax transcripts, while the government is shut down. Mortgage Companies are required by the secondary market to supply a verified tax transcript on every loan transaction. If a borrower’s tax transcripts have not already been received, there is the likelihood that this would delay loans in process until this government service is available.
2. In some cases, the mortgage lender will not be able to verify social security numbers which could delay the mortgage process should there be any reason to verify a social security number. This won’t impact most transactions, but there may be a need to verify social security numbers when discrepancies surface in the documentation we collect.
3. There is likely to be limited FHA staff available to respond to questions, emails or other correspondence. However, we do expect that FHA’s automated systems should be functioning and available which will allow us to perform many of the critical mortgage functions like insuring loans, paying mortgage insurance premiums, and issuing FHA case numbers on new FHA loan applications.
Please note that each mortgage application situation is different and you should contact your mortgage broker to find out what if any impact the government shutdown will have on your individual situation.
The latest home data released by RealtyTrac show that homes entering foreclosure status dropped 44% in August when compared to last year, and 8% when compared to July 2013. The continued recovery in the national housing market and its associated rise in home prices mean that less people are underwater with their mortgage and fewer homes are entering foreclosure.
While the Utah housing market is recovery nicely, Utah is actually relatively high in the foreclosure ranking, coming in at number 8 in the country for August. One in every 697 homes entered the foreclosure process in August, compared to 1 in 824 in July (when we were 10th in the nation). So why is Utah heading in the wrong direction? Well one reason could be that the recovering market means that banks are feeling an increased willingness to foreclose on properties. After all, just like non distressed home sales, it’s far easier to sell a home in a market that is heading upwards than it is in a market that is in a downtrend. It also means that banks can recoup more of their loss.
The Salt Lake Housing Market continued to surge ahead in the 2nd quarter 2013, with the median home price rising to $249,900, an increase of 17.32% over the last 12 months. Home prices for single family homes have now increased for 5 straight quarters, with the last quarter being the strongest of all, returning a gain of 10.14%. Clearly we cannot keep going at this pace for any length of time, given that if we compounded the gain seen in the last quarter over a full year we would see a return of over 40%, which is unsustainable.
$249,900 – 2nd Quarter 2013
$226,900 – 1st Quarter 2013
$220,000 – 4th Quarter 2012
$217,900 – 3rd Quarter 2012
$213,000 – 2nd Quarter 2012
$190,000 – 1st Quarter 2012
The current rise in home prices has been driven by a shortage of home listings, and the good news is that we are starting to see more homes come on the market, which could ease the current inventory levels. We have also seen an uptick in mortgage interest rates, which impacts home affordability. The short term impact of higher interest rates could actually have the opposite effect, forcing buyers off the fence and into the market or it could put some buyers off buying altogether. Only time will tell what impact these rate rises will have, and it must be said that even with the recent rises interest rates are still at historically low levels.
If you have visited the Daybreak Utah community recently you will have noticed a large amount of building going on. Of course there is the usual new home construction in the Eastlake and North Shore Villages, but there are also two large parcels of land currently being torn up ready for development. One of them located on the east side of the lake (where the trees were stored) and another on the west side of the lake just south of the Brookside model home village. Well today I found out what these areas will be. Daybreak is building not one, but two new villages.
Creekside Village – Opening in August 2013
This village is located near the Brookside Model Village, sandwiched between two creeks and will feature homes ranging from the $200’s to the $400’s. Village features include a planned pool, 15 acre park (including sports fields), and Bingham Creek Reserve (located in a dry creek bed). The homes in this village will feature larger than usual yards
Lake Village – Opening in September 2013
This village is located on either side of the northern part of the lake (located on a hillside on the west of the lake and a peninsula on the east side). . Homes in this village will include waterside condominiums and single family homes, ranging in price from the $200’s to the $500’s. Home features include lake views, and larger yards with a redesigned more usable yard space.
Forbes names Salt Lake City the 10th best city in the U.S. for Good Jobs in 2013. This list was compiled using the following criteria:
• 2011 unemployment rate: 5%.
• Current unemployment rate: 20%.
• Estimated 2013 employment growth: 20%.
• 5-year estimated employment growth: 25%.
• Current per-capita income: 15%.
• Estimated 5-year income growth: 15%.
It was designed to identify cities with a combination of low unemployment, high wages and high job growth.
Attracted by a highly educated work force, I.T. companies have recently flocked to the area, and while the metro population growth rate tapered off, the area is still expected to add 60,000 jobs through 2020. All this is good news for the Salt Lake Area and local the housing market.
The first quarter 2013 saw median prices continue their upward trend, with single family homes climbing 19.45% and condo prices climbing 14.16%. This data is especially good news for condo owners, who have until recently watched as single family home prices have recovered and condo prices continued to decline. Driving the recovery in the condominium market were strong sales, which increased over 27%, to 317 sales in the quarter. On the other hand single family home sales were pretty much flat, showing just a marginal improvement of 1.22% to 2,238 sales.
So why are prices climbing while the number of sales seems to have reached a plateau. Well it’s all about supply and demand. Take a look at the table below which shows the 1st quarter single family home new listings and median number of those new listings sold since 2006. We can see that the number of new listings has declined from a peak of 6,553 in 2008 to a low of 3,453 in the last quarter. That’s a drop of nearly 50% from its peak. While the number of new listings continued to decline, the number of those listings selling has climbed steadily over the same period, going from a low of 27.67% in 2008 to 64.81% in the last quarter (a level even higher than that seen in the height of the real estate boom). In short there are so few homes on the market that buyers are facing tough competition from other buyers, thus driving up median home prices.
Single Family Homes
|Year||New Listings||Median Sold|
If we look at the same data but for condos we can see a similar picture, but the trend seems to be about 2 years behind that of single family homes. This is one of the reasons why condo median prices have been slower to recover.
|Year||New Listings||Median Sold|
Trela Bird is a Realtor serving the Salt Lake City market. Use out MLS search to find Luxury Salt Lake Homes.
Tags: Condos, Home Prices, Home Sales, Homes Sold, Housing Market, Real estate, Real Estate Market, Salt Lake County, Salt Lake County Home Prices, Salt Lake Home Prices, Salt Lake Homes, Salt Lake Real Estate
The Salt Lake Housing Stats and home prices for 2012 are out and it’s a pretty good year for home owners (well at least better than the previous 4 years). For the first time since 2007, home prices in Salt Lake County increased year over year. The median home price for a single family home stood at $212,000, up from $199,000 which is a 6.53% increase. The total number of homes sold showed a 16% increase, but the data that stood out the most was the CDOM or cumulative days on market. This stat tells us how long in days it took to sell a newly listed home, and in 2012 this figure dropped 50% to just 35 days. The lower the figure the hotter and stronger the market.
The condo market did not do nearly as well as single family homes, prices continued to fall and in fact the decline accelerated falling 15.84%. While prices continued to fall, there were some encouraging signs, with home sales increasing 15.89% and the CDOM declining 29.46%. Part of the problem with condo sales are the tight lending requirements aimed specifically at condos, making it difficult to obtain mortgages in some condo developments.
The outlook for 2013 looks better than it has done for some time. Early indications are showing the strength in the market is continuing into the first quarter, with a limited housing inventory competition is strong among buyers. In fact we could do with more people listing their home so buyers have a greater choice.
Tags: Home Buyers, Home Prices, Home Sales, Home Sellers, Housing Market, Salt Lake County, Salt Lake County Home Prices, Salt Lake Homes, Salt Lake Housing Market, Salt Lake Real Estate, Utah Real Estate