What’s Happening With The Real Estate Market in Utah?
Will the housing market crash in Utah? Well, stay tuned because that’s exactly what we’re talking about today.
Hey everybody, it’s Melissa Ballman with Berkshire Hathaway HomeServices Utah properties and Utah Homes by Melissa. So let’s get into it. Is the housing market going to crash again? You might be thinking, “I shouldn’t sell my house right now because there’s a recession going on.” Or you might be asking yourself, “Should I buy a house or are prices going to go low again?” Well, let’s jump into it because after all, I am a numbers geek and I always say the numbers never lie. Okay, so let’s jump into the numbers and discuss why it’s still a good time in Utah to buy and sell real estate. Now, the first thing I want you to remember is Utah is one of eight States in the US that did not completely shut down for Covid.
So things are still happening. Real estate is still considered essential in Utah, and so that makes more activity happening than where you would see maybe in New York or other States that have completely shut down. So according to UtahRealEstate.com our MLS that puts out our statistics, they’ve been tracking a five year history for us and how Covid is affecting our Utah market. So from 2016 to 2020 our housing inventory or active listings in March of 2020 is lower than it’s been the four previous years. You can see here. So what does that mean for a seller? Well, what that means is normally spring time you see a lot of people putting their housing on the market. You have a lot of competition if you decide to list your house for sale as well. But this year with us being lower in inventory, it’s really a good time to sell if you’re willing, because you’re not going to have as much competition of other sellers and homes on the market.
Now, if you are thinking as a buyer or a seller that this is not a good time because people just aren’t out buying and selling real estate right now, well, let’s take a look at our under contract listings. Check this out. We have more units under contract in March of 2020 than we did the four years prior to that. So that is a great indication that people are still out buying and selling real estate in Utah. I can tell you every day that I look on the MLS, I am still seeing notes from agents that they’re in multiple offer situations, especially in those lower price points under $500,000, when that’s still considered affordable in Utah. Now to counter that are sold inventory. You can see here it’s actually lower than it’s been the four years prior to that, but really looking at the numbers from 2019 to 2020 March, you’re really less than 50 units in the entire state different of what had sold in March.
And when you take that and compare it to the under contract numbers that are significantly higher than March of 2019, all numbers point that the market is still strong in Utah. You might be saying to yourself, “Yeah, but Melissa, a recession is happening. It’s coming. That means my home values are going to go down. And if I buy a house right now, I’m going to lose money because prices are going to go down.” Well, stay tuned for my video next week. I’m going to talk about mortgage industry. What is happening with loans and what a housing crisis is compared to a recession, which is what most people are confusing right now. So make sure you subscribe to my YouTube channel so you can be alerted when that new video posts next week. As always, I do a new video each and every week, so make sure that you get alerted.
Video Transcription
What’s Happening With The Real Estate Market in Utah?
Will the housing market crash in Utah? Well, stay tuned because that’s exactly what we’re talking about today.
Hey everybody, it’s Melissa Ballman with Berkshire Hathaway HomeServices Utah properties and Utah Homes by Melissa. So let’s get into it. Is the housing market going to crash again? You might be thinking, “I shouldn’t sell my house right now because there’s a recession going on.” Or you might be asking yourself, “Should I buy a house or are prices going to go low again?” Well, let’s jump into it because after all, I am a numbers geek and I always say the numbers never lie. Okay, so let’s jump into the numbers and discuss why it’s still a good time in Utah to buy and sell real estate. Now, the first thing I want you to remember is Utah is one of eight States in the US that did not completely shut down for Covid.
So things are still happening. Real estate is still considered essential in Utah, and so that makes more activity happening than where you would see maybe in New York or other States that have completely shut down. So according to UtahRealEstate.com our MLS that puts out our statistics, they’ve been tracking a five year history for us and how Covid is affecting our Utah market. So from 2016 to 2020 our housing inventory or active listings in March of 2020 is lower than it’s been the four previous years. You can see here. So what does that mean for a seller? Well, what that means is normally spring time you see a lot of people putting their housing on the market. You have a lot of competition if you decide to list your house for sale as well. But this year with us being lower in inventory, it’s really a good time to sell if you’re willing, because you’re not going to have as much competition of other sellers and homes on the market.
Now, if you are thinking as a buyer or a seller that this is not a good time because people just aren’t out buying and selling real estate right now, well, let’s take a look at our under contract listings. Check this out. We have more units under contract in March of 2020 than we did the four years prior to that. So that is a great indication that people are still out buying and selling real estate in Utah. I can tell you every day that I look on the MLS, I am still seeing notes from agents that they’re in multiple offer situations, especially in those lower price points under $500,000, when that’s still considered affordable in Utah. Now to counter that are sold inventory. You can see here it’s actually lower than it’s been the four years prior to that, but really looking at the numbers from 2019 to 2020 March, you’re really less than 50 units in the entire state different of what had sold in March.
And when you take that and compare it to the under contract numbers that are significantly higher than March of 2019, all numbers point that the market is still strong in Utah. You might be saying to yourself, “Yeah, but Melissa, a recession is happening. It’s coming. That means my home values are going to go down. And if I buy a house right now, I’m going to lose money because prices are going to go down.” Well, stay tuned for my video next week. I’m going to talk about mortgage industry. What is happening with loans and what a housing crisis is compared to a recession, which is what most people are confusing right now. So make sure you subscribe to my YouTube channel so you can be alerted when that new video posts next week. As always, I do a new video each and every week, so make sure that you get alerted.