Market Condition May 2007
Submitted By: watterson - May 15, 2007
As expected the Wasatch Front real estate markets are seeing less appreciate this year versus last year. Days on the market have increase 2-3% and the number of single family homes sold has decreased 2-3%. We have seen an excellent increase (15-20%) in average new listing price.
I believe the sub prime market has shrunk the pool of buyers and that the average listing price will come down because of a smaller pool of buyers. I’m also seeing investors starting to put there single family homes on the market. This will continue to increase inventory, lengthen days on the market and reduce asking prices. Those unwilling to reduce asking price will see longer days on the market and very possibly not sale, if priced at top of the market or over priced.
Bottom line, we will see appreciation this year, most likely 3-5% depending on the area and the condition of the property. Our job market is strong and major employers are still hiring and relocating employees to Utah. I still believe we will not see negative appreciate in the next two years. We may see some in three years or at least a flat market. Only time will tell for sure.
For specific market area details please visit www.MarkWatterson.com or call me 801.815.0411
Mark Watterson is a Principle Broker with Principle Realty Group, Inc and a licensed Senior Mortgage Loan Specialist with Envision Lending Group.