My kitchen project is wrapping up, my new office is coming together
The bathroom project is full steam ahead and my home is looking much better
I’m really glad that I waited this long, to remodel my humble abode
The level of finishes and choices I made, are quality, not middle of the road
Thank you to all the contractors and friends, who provided labor and advice
You’re the reason this has gone so well, and turned out so damn nice!
We just wrapped up the 1st quarter of 2022. In this months’ SLC Homes News, we’ll review the stats for residential real estate in Salt Lake County and we’ll look at the effect that rising mortgage rates are having on the cost of owning a home.
1st Quarter Median Price Change in Salt Lake County:
The median price of a single family home in Salt Lake County increased from $475,000 to $604,000 from the 1st quarter of 2021 to the 1st quarter of 2022, a 27.2% increase. This is the biggest 1st quarter one year increase in the median price of a single family home in Salt Lake County that we’ve ever seen, and it comes after the 18.5% increase we saw from the 1st Quarter 2020 to the 1st quarter 2021.
Since the 1st Quarter 2020, the median price has increased 50.6% from $401,000 to $604,000.
If you look at the graph above, you’ll also see that the number of homes listed and sold continues to decline from previous years and remain at record lows.
As of Tuesday, April 6th, there were 385 homes for sale in Salt Lake County. Last year at this time, there were 393 homes for sale.
The last two homes I listed had twenty-one and twenty-three offers on them. With so many buyers competing for so few homes, I am pretty confident that the market will continue to appreciate in the 2nd quarter.
The median price of a condo/townhome in Salt Lake County increased from $335,000 to $435,000 from the 1st quarter of 2021 to the 1st quarter of 2022, a 29.9% increase. This is the biggest 1st quarter one year increase in the median price for condos and townhomes in Salt Lake County that we’ve ever seen, and it comes after the 15.5% increase we saw from the 1st Quarter 2020 to the 1st quarter 2021.
Since the 1st Quarter 2020, the median price has increased 50.0% from $290,000 to $435,000.
If you look at the graph above, you’ll also see that the number of condos/townhomes listed and sold continues to decline from the previous years and remain at record lows.
As of Tuesday, April 6th, there were 113 condos/townhomes for sale in Salt Lake County. Last year at this time, there were 141 condos/townhomes for sale.
Interest Rates:
The graph below is from the Freddie Mac web site and shows what the average interest rate was, on every Thursday over the last year for the 30-year fixed rate, the 15-year fixed rate and the 5/1-year Adjustable rate mortgages.
Since December 23, 2021, the average 30-year mortgage rate has gone from 3.05% to 4.67%. One year ago the 30-year rate was at 3.17%
If you compare the cost of the principle and interest payment based on the median value of a single family home in Salt Lake County at the end of the 1st quarter, which was $475,000 in 2021 and $604,000 in 2022, and assume the buyer is putting 20% down at the 30-year mortgage rate at that time, the cost was $1,637 this same time last year and $2,497 this year, a 52.5% increase in one year.
Our local market hasn’t slowed down yet, but if interest rates and prices continue to increase at this pace, something eventually has to give.
If you or someone you know has any questions about buying or selling real estate or if you’re wondering what your home is worth, I’d love to hear from you!
Thank you for your repeat business and your referrals!!!
Kev
Kevin Coyle
REALTOR BROKER MBA CRS
SLC Homes
E: Kevin@SLCHomes.com
M: (801) 243-0699
