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    What is happening statistically with Utah County Real Estate?

    real-estate-marketing-trend-1024x768The real estate market is going up.  Don’t be scared-this isn’t like the boom that busted in 2005-2008.  The difference between todays market and the market that crashed is the following:

    2005-2008 Real Estate Market

    • Mass speculation
    • Straw buyers
    • Dishonest lending practices
    • Unqualified borrowers
    • Loose lending standards
    • An anything goes appraisal standard
    • At the peak of the market over 4700 homes were active on the market with an average quarter of sales being 1800 homes sold (Stats-per quarter)
    • It was simply too easy to buy, too easy to become an “investor” and so the ingredients all mixed together and could NOT sustain themselves.

    Fast forward

    2012-2015 Real Estate Market Recovery

    • Buyers are buying based on solid valuation principles
    • We had nearly 5 years of no building and continued population growth in the market
    • We have had continual increases in both demand, homes purchased and inventory has remained at nearly half the availability of the boom.

    The old economics principles of supply and demand will ALWAYS be true.  As supply increases beyond market demand prices will deflate.  As inventory (supply) stays low than price will go up as long as demand stays consistent.  We continue to see the Utah Housing market be in demand with expectations of the Utah County market alone (population currently approx 500,000) to grow to a population of nearly 1 Million in the next 35 years.  That’s an average increase of nearly 1200 people PER MONTH.  http://www.utahfoundation.org/uploads/rr720.pdf

    So yes, with unemployment near 3.5% (ie-if you are willing to work and have some talents, there is employment), continued STEM job growth which creates additional value to the market http://www.fig.us/silicon-slopes/ Utah will continue to see increases in real estate value.  Take a look at the statistics below and when you’re ready to start your home search start right here in Utah County.

    Residential 1st Quarter Comparison 2012 – 2015
    2012   2013 % Change   2014 % Change   2015 % Change
    CDOM (days it takes to sell a home) 83 50 -39.76% 62 24.00% 50 -19.35%
    All # Sold 1191 1280 7.47% 1356 5.94% 1586 16.96%
    All Mdn Sold Price $174,000 $197,700 13.62% $212,500 7.49% $229,000 7.76%
     
    New Listings 2413 2348 -2.69% 2900 23.51% 2974 2.55%
    Mdn % of New Listings Sold 49.36% 54.51% 10.45% 46.76% -14.23% 53.33% 14.05%
    New Mdn Asking Price $196,000 $219,900 12.19% $238,450 8.44% $250,000 4.84%
    Search Criteria: State is Utah, County is Utah
    This report was generated automatically by the Wasatch Front Regional MLS on 10/09/2015 at 09:45 AM
    Copyright 2015 Wasatch Front Regional MLS All Rights Reserved

     

    Residential 2nd Quarter Comparison 2012 – 2015
    2012   2013 % Change   2014 % Change   2015 % Change
    CDOM (days it takes to sell a home) 56 26 -53.57% 40 53.85% 22 -45.00%
    All # Sold 1611 1949 20.98% 1930 -0.97% 2501 29.59%
    All Mdn Sold Price $182,000 $206,500 13.46% $219,900 6.49% $234,653 6.71%
     
    New Listings 2630 3115 18.44% 3517 12.91% 3419 -2.79%
    Mdn % of New Listings Sold 61.25% 62.57% 2.14% 54.88% -12.29% 73.15% 33.30%
    New Mdn Asking Price $199,945 $229,900 14.98% $249,500 8.53% $259,000 3.81%
    Search Criteria: State is Utah, County is Utah
    This report was generated automatically by the Wasatch Front Regional MLS on 10/09/2015 at 09:45 AM
    Copyright 2015 Wasatch Front Regional MLS All Rights Reserved

     

    Residential 3rd Quarter Comparison 2012 – 2015
    2012   2013 % Change   2014 % Change   2015 % Change
    CDOM (days it takes to sell a home) 50 28 -44.00% 43 53.57% 23 -46.51%
    All # Sold 1688 1975 17.00% 2082 5.42% 2506 20.37%
    All Mdn Sold Price $194,825 $214,900 10.30% $225,000 4.70% $237,500 5.56%
     
    New Listings 2361 3055 29.39% 3048 -0.23% 2997 -1.67%
    Mdn % of New Listings Sold 71.50% 64.65% -9.58% 68.31% 5.66% 83.62% 22.41%
    New Mdn Asking Price $210,000 $231,900 10.43% $247,000 6.51% $264,900 7.25%
    Search Criteria: State is Utah, County is Utah
    This report was generated automatically by the Wasatch Front Regional MLS on 10/09/2015 at 09:45 AM
    Copyright 2015 Wasatch Front Regional MLS All Rights Reserved
    Residential YTD Comparison 2012 – 2015
    2012   2013 % Change   2014 % Change   2015 % Change
    CDOM 60 31 -48.33% 46 48.39% 27 -41.30%
    All # Sold 4653 5352 15.02% 5560 3.89% 6727 20.99%
    All Mdn Sold Price $185,000 $207,450 12.14% $220,000 6.05% $234,900 6.77%
     
    New Listings 7597 8813 16.01% 9744 10.56% 9600 -1.48%
    Mdn % of New Listings Sold 61.25% 60.73% -0.85% 57.06% -6.04% 70.07% 22.80%
    New Mdn Asking Price $200,000 $227,200 13.60% $244,900 7.79% $259,900 6.12%
    Search Criteria: State is Utah, County is Utah
    This report was generated automatically by the Wasatch Front Regional MLS on 10/09/2015 at 09:45 AM
    Copyright 2015 Wasatch Front Regional MLS All Rights Reserved

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