The 2015 Salt Lake County Housing Market
What happens when you mix a growing economy, low unemployment, and higher wages? You get a great housing market. How do we know this? The data from 2015 is in, and it’s good. It is really good, especially here in Salt Lake County.
Salt Lake County had its highest home sales in 9 years. And, it was the third highest in Salt Lake County’s history of home sales. 2015 brought in a total of 13,293 single-family homes. That’s more than 2,000 homes sold compared to 2014. The growth in sales is mostly attributed to high demand from buyers and low mortgage rates. What can we take away from this? The market is great right now and home values are rising. The median sales price for Salt Lake County in 2015 was $272,000, which is higher than pre-recession years.
Salt Lake City was #1 in home sales for Salt Lake County. Of the 13,293 homes sold in the county, Salt Lake City had 3,626 sales. That’s 27% of the sales for the county even though Salt Lake only accounts for 21% of all households in the county. Why the rise in sales for the state capitol? It’s mostly because of the conveniences the city brings like being close to work, transportation, and community amenities. Other cities that had high home sales are West Jordan (1,446), Sandy (1,380), and West Valley (1,236).
Rising home values and high demand from buyers are creating a great sellers’ market. In 2015, data shows that homes were on the market for an average of 21 days. This is a big sign of the high demand from buyers. Because of the demand, home values are rising. There are less homeowners with negative equity (only 4%), which is allowing more people to move out of their homes into the desired upgrades and increase the demand for homes to buy. The other reason home values are rising is the near elimination of short sales and foreclosures. In 2011, one-third of the housing market was short sales and foreclosures, which caused home values to plummet. Now, you will have a hard time finding one and this has caused the average sales price to surpass the pre-recession prices. Do you want to know your home's value? We can help!
It may be a great sellers’ market, but homes aren’t overvalued. If you are looking to buy, don’t be discouraged by the rising prices. The 2015 data of average household income ($62,672) for Salt Lake County shows that more than half (56%) of the homes for sale are in the price range for buyers. Along with the affordability of homes, mortgage rates are at the lowest rates in 45 years (3.5%). This is the perfect time to buy. Find out what you qualify for today!
A strong economy is bringing us a great housing market in Salt Lake County. According to the Salt Lake Housing Forecast, home sales are predicted to rise 11% in 2016. Not only are home sales expected to rise, but the median sales price of a home should rise about 5-7%. And, mortgage rates are not expected to rise in 2016. Whether you are buying or selling, 2016 is a great year for the housing market.