SALT LAKE CITY — Right now it’s expensive to buy a home in Utah. Prices are up from last year, keeping Utah in the top 10 most expensive housing markets in the country.
The housing market may have potential buyers discouraged, but real estate experts have some recommendations.
Adam Kirkham, former president of the Utah Association of Realtors, told KSL that the biggest piece of advice is not giving up.
He said new homes are being built, and interest rates are good. Despite prices being high right now, the housing market is essentially flat and that’s rare.
Kirkham said while buyers may be at a slight disadvantage with prices and supply, sellers don’t have as much of an edge as buyers might think.
“Is it a great time to sell? Is it a good time to buy? I think we’re right in the middle,” said Kirkham.
According to the latest data, the median price for a home in Utah last month was $512,500. That’s up 1% from September 2024 and keeps Utah’s housing market in the top 10 most expensive states in the country.
The reason, according to Kirkham, is Utah’s attractive quality of life, stable job market, and Utah’s mountains and lakes, which limit where builders can create new neighborhoods. Kirkham said this puts a geographical boundary on supply.
“Utah is, is outpacing the rest of the country on job opportunities and quality of life, and that that naturally increases the cost of housing, and then we have those geographical limitations that we talk about,” said Kirkham.
The current housing supply is four and 1/2 months. In other words, if no new homes were listed on the market, it would take sellers four and 1/2 months to sell all the houses available.
Currently, Utah is in a seller’s market. Once housing levels increase to the six month mark, the market shifts to a buyer’s market.
Kirkham doesn’t think that will change over the next few months.
So what should buyers do?
“In Utah, the leaders and those in the industry are doing everything they can to it to increase housing supply, to help affordability come down. And so if you’re feeling discouraged, keep working, keep saving, keep doing those things that will help you create a down payment,” he said.
What is helping buyers right now are interest rates. The most recent rate from Freddie Mac shows interest at 6.27%, which makes a monthly mortgage more affordable.
The trick to getting into a new house, then, is saving a down payment before pulling the trigger.