Whenever April 1st rolls around, we typically predict what the second quarter of appreciation is going to do in Salt Lake County. This is because we usually see the most appreciation happen in the second quarter.
In our area, appreciation is very much a seasonal thing—not a linear trend. Instead, things occur in booms and busts.
So, looking back, what happened this year? Well before we get to that, let’s take a look further back.
In early 2012, when the recession ended, Salt Lake County’s median sales price went up 12%—and did so again in 2013. 2014 saw a 4% increase, and 2015 had an increase of 12.97%.
Just last year, the median sales price rose 6.2%. Looking at these numbers, we can see that we’ve had five solid years of second-quarter appreciation.
In 2012, the median sales price for a single-family home was $190,000. Today, that median price is $330,000.
So in just five years and one quarter, homes have appreciated almost $75,000. Does this mean we’ve created another bubble? Most experts say no.
Salt Lake actually has a 40-year history of having median prices double between every eight to 12 years.
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Being an informed, educated buyer is everything
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Real estate is a long-term game. Being an informed, educated buyer is everything—which is why we try to help you be just that.
If you had bought a home on April 1st, for example, the median price was $305,000. But, if you waited the just 90 days until July, you’d find that the median price has risen to $330,000.
These real numbers show that even just a three-month wait could very well have cost you $8,000 a month.
Some of the things my team often hears from buyers include: “I have time,” or “I’m waiting for the right home.” But, as we’ve seen here, waiting could cost you. Even if you are waiting because you want to save more money, the market appreciation rate is outpacing the amount you could be saving.
The best deal you could get in this market is often the deal you could get today.
We want to help you understand your options by looking at things like area and price range. Also, homes are moving fast. Low inventory has lead to high demand—which is another reason not to wait.
Ultimately, we’d be happy to help you make an educated real estate decision based on the numbers for your area and price range.
If you would like more information or have any other questions, feel free to give me a call or send me an email. I look forward to hearing from you soon.
