Are you curious what’s going on in the national housing market or the Utah housing market? We have all the latest information and statistics on the current housing market nationally and in Utah in this real estate market update video. Learn the transaction forecasts from Fannie Mae, the NAR, and the MBA and how they are projected to increase this year. Home prices are projected to continue to rise this year according to the National Association of Realtors, Zelman and Associates, Realtor.com, Freddie Mac, Mortgage Bankers Association, Fannie Mae, and Core Logic. Nationwide they’re expected to see a 5% increase in home prices.
Interest rates are also rising slightly, but still are considered very low. They were reaching several record lows all last year, but are starting to rise again. Anytime interest rates increase, it will decrease your purchase power and change buyer viability.
Covid-19 has also played a role in the housing market. More people will feel comfortable selling their home once people have been vaccinated for Covid-19, which suggests housing inventory will be greater later in 2021 and spring of 2022. Also, more people have the option to work from home so they can choose more freely where they want to live. People have the option to work anywhere virtually which has caused people to move across the country. More people have been moving to Utah from out of state to enjoy the scenery or be closer to family since they have the ability to work remotely. Many people also desire home offices or larger spaces since the pandemic which has caused more people to move.
Home appreciation across the United States has increased. Idaho ranked number one for home appreciation, followed by Arizona, then Washington state. Utah also had a large home appreciation and ranked number 4 in the nation. A lot of western states have experienced this home appreciation this past year greatly, but home appreciation has happened all over the country.
The most affordable areas in Utah to live in currently include Copperton at number one, followed by Farr West, then Glendale, Marriott-Slaterville, South Ogden, West Valley City, Kearns, Magna, Roy, and then Riverdale. Some locals might be skeptical about moving to some of these areas, but they do have a lot of new neighborhoods, businesses, and developments to enjoy in these communities. Some of these communities are up and coming and have had a lot of new developments.
The median days on market for a home in Utah in January 2021 was 9 days compared to 39 days in January of 2020. The median home price in Utah in January 2021 was $380,000 compared to $325,000 from January of 2020. Home inventory in January of 2021 compared to January 2020 has decreased and has low inventory currently in Utah.
A lot of sellers held off selling last year due to Covid-19, but more people are becoming more comfortable now and will want to take advantage of the market and will try to put a plan in place to start selling this spring. There are plenty of buyers on the market right now trying to buy a home and as more homes start to be put on the market these buyers will have more opportunities to buy their home and take advantage of the housing market.
Make sure you have a trusted real estate professional on your side, especially during this housing market, who knows what they’re doing and can get you the best offer! An agent can help you sort through your offers and help you understand any risks and any advantages in the offer. A real estate professional will help you through the process of buying a home or selling a home even if your buying and selling a home simultaneously. Agents have all the knowledge to help benefit you in your journey of buying or selling a home and can get you the best offer!