Utah real estate agents are continuing to adapt to an ever-changing market. For many years, Utah has been unique for its excellent location in the west without the soaring prices of neighboring states like California. In fact, having a cheaper cost of living than California has given Utah a special economic edge. Unfortunately, Utah is also finding itself struggling with some of the same issues as the golden state, such as overpopulation and rising housing prices. Utah is, however, currently looking at a low 3.2% unemployment rate for 2017 and part of 2018.
How is overpopulation effecting Utah? Well, not having enough housing causes it to be in higher demand, and there is a real danger that overbuilding could reach the mountains and lake areas, which would mean that the number of people looking for housing would have exceeded the amount of space available. While this may be good short-term news for Utah real estate agents, it may not sit well for the state as a whole in the big picture.
If people living in Salt Lake City, Utah’s capital and largest city are forced to move farther out it could also be treacherous for the local economy. Salt Lake City homes are already experiencing steep differences: homes are selling for as little as 200,000 or as much as over one million. Salt Lake City realtors may need to focus on accommodating the number of people living in the area. One thing they can do is perhaps focus on building more multi-family units, although this is an issue that Utah real estate agents may not be able to solve on their own.
An everlasting problem in Utah and all over the country seems to be rising cost of living. Houses for sale in Salt Lake City, as well as rental units throughout the state are experiencing a higher-than-ever price. Meanwhile, with low unemployment, wages are stagnant. This presents a problem when houses for sale in Salt Lake City exceed the income of the average worker, and people begin to move farther out. If this problem becomes too extreme, Salt Lake City realtors and Utah real estate agents in general will have their work cut out for them.
Unfortunately, experts are not predicting a reversal of these trends any time soon. In fact, Salt Lake homes for sale will probably continue to become more expensive. How the wage situation will change is also debatable with no clear end in sight. Technological changes will no doubt have an effect on things; for example, the internet has become increasingly popular over the last two decades, and in more recent years, Smartphones have taken over the industry.
Now, when looking for an apartment or house, you could go on Craigslist or simply Google, “Salt Lake City homes for sale,” or “homes for sale slc” and find actual Salt Lake City homes for sale right there on the internet. Or you could type in “Utah real estate agents” and be connected to someone directly. The possibilities are endless.
Ultimately, the situation is going where the economy takes it, and a lot of this is dependent on the government and decisions they are making. However, the market for Salt Lake City homes will probably remain high. People will continue to search online for “homes for sale slc” with hopes of finding some affordable Salt Lake homes for sale.
However, with the increase in population over the past two decade, the cost of living is on the rise in major part due the cost of housing. And if real estate continues to increase, Utah real estate agents and brokers alike may find themselves in the cross-hairs if and when faced with another bursting market cycle.