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>> Sunday, 16 October 2011




As we all know that Real Estate in salt lake is very famous.There is a lot of anecdotal evidence bouncing around the web between real estate agents that the bottom of the barrel has come and gone in Salt Lake City. Everyone wants to believe that better times are just around the corner, but rumors abound that the property values could dip another 30% before the worst is over. What's more, a market glutted with inventory and full of foreclosures and short sales is driving down property values all throughout the Salt Lake area.

According to one real estate agent quoted in Realty Times Market Conditions, Salt Lake saw a decline of home sales of about 26% between 2007 and 2008. As of March 2009 there were 8,372 residential homes for sale in Salt Lake County. The median price was $284,400 and the average list price was $385,217. There is simply too much inventory for the number of home buyers.


People are cautious to buy and also cautious to sell. In the New York Times article, "In the Grip of Indecision" Laura M. Holson writes, "For many homeowners who bought at the top of the market, admitting what now seems to have been a mistake is painful, and could keep them from selling, even though the decision may be a smart one." Oftentimes homeowners will avoid selling until it is too late. Foreclosure, and short sales are driving down the property values for their neighbors because appraisers use the foreclosure and short sale prices to determine the value of their homes.


Although people are hesitant to buy right now, it is inarguably a great time to get in as a first time home buyer in Salt Lake City, or to buy a larger and more expensive home. The number of homes in the higher price range ($500,000 or greater) are seeing more time on the market. KSL reported on a wave of home foreclosures in St. George, UT. The article told of one person who was able to purchase a $2.8 million property for $800,000. Although higher-end bargains abound, homes priced in the first-time buyer range still move the fastest. Now FHA loans go up to $320,000 in the Salt Lake County so more people are able to buy.


Perhaps the most prudent thing to do, however, would be to rent. Many people relocating to the Salt Lake City area are moving their items into a storage shed and renting a furnished property until the market recovers. In this way, the tenants don't have to move their things multiple times. Corporate housing is furnished apartments where typically all rent, furniture, housewares, linens, and utilities are included at a flat rate. Typically this will save the client money over the cost of staying in a hotel, while offering all the comfort of having a kitchen, laundry, and double the square footage of a hotel room.



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