2016 was a great year for the Salt Lake City real estate market - really in the country as a whole. Home prices in the U.S. rose in 2016 by 4.9% overall. Much of this increase was due to a lack of inventory. In Salt Lake County alone the lack of inventory caused less sales in numbers. There were 4.8% less sales transaction in 2016 than there were in 2015. It was a great time to sell a home. It was a bit harder to be a buyer, but low interest rates helped to keep homes affordable.
This lack of inventory was great news for the condo market too. Typically condos sell slower and at a lower volume than homes. But when homes aren't available buyers turn to condos. In 2016 6.87% more condos sold than in 2015.
What can we expect for 2017? According to the Salt Lake Board of Realtors December 2016 publication it is expected that we will see a slower growth this year in home prices. Where last year rose by about 4.9%, they expect that the U.S will see about a 3.9% price increase in 2017. Part of this may be that interest rates are beginning to rise. As of this writing the current interest rate for a 30 year fixed rate mortgage is 4.125%. It's still low, but definitely starting to creep up a bit.
The Salt Lake Board also stated that the Western U.S. housing markets will continue to lead the country in sales and prices. Western cities make up 11 of the top 25 hottest markets. And both Salt Lake City and Provo fall in that top 25.
As a Salt Lake City Realtor out it in the thick of it every day, right now feels like a January real estate market. There are fewer homes on the market and they take a bit longer to sell. But that being said, it's still a great time to sell. Especially if you have a move-in-ready home. Those are still selling very quickly as there are serious buyers out there who are educated to the market and know a good home and a good price when they see it.
It's still a great time to buy or sell a home. And I'm happy to help. Give me a call or shoot me a text or email and we'll get started. My contact info is below.