In the past few months you've probably heard your share of the gloom and doom predictions for America's real estate market: the bubble's bursting, home value averages are plummeting, the market's taking a huge hit, etc. This just isn't the case. When looking at the nation's housing market as a whole it's very easy to generalize the state of the market. But let's face it, knowing the average home value in the U.S. or how much mortgage rates have dipped isn't going to help you. (If you're curious though, the average home value in America in 2006 was $221,900). If you're thinking of buying or selling a home, then you're looking into a specific geographical area, and that should be the market you're examining. Real estate is an investment, so it's always good to think where your home value may be 5 years after you move - if you want to be able to somewhat predict that, you'll have to look at the region you're in. Studying an area's market, employment rate, economy and attractions are a good way to determine what home value prices and the real estate market will be do over a period of time in a given area.
Right now, Utah, with its capital of Salt Lake City, is probably one of the fastest growing states in the U.S. Many Hurricane Katrina survivors have settled permanently in Utah, bringing it to a healthy population of 2,550,063 in 2006. More and more people are seeing the allure of Utah, which is what has kept their home value averages high and real estate market booming compared to the rest of the country.
With plenty of room for it's agricultural products (cattle, dairy, hay and turkeys) and industry areas (aerospace, machinery, mining, food processing, electric equipment and tourism) Utah has a strong economy with low unemployment rates. As a matter of fact, Utah's unemployment rate reached an all time low of 2.3% in 2/07 and has only risen a bit to 2.5% in April. Utah's median home value is also relatively low at about $152,118 in April, which is about $30,000 MORE than it was in March. With an estimated median household income in 2005 of $53,226, Utah's income growth and home value growth seem to be rising steadily together, rather than one being way ahead of the other like most of America.
Perhaps it is the attractions of Utah that keep people coming back, wanting to become residents, which in turn helps keep home value prices high. After all, Utah is home to the Mormons and Temple Square a 3 block radius in Salt Lake City chronicling Mormon pioneer history, is its most popular tourist attraction. As with any big city, Salt Lake City's got great nightlife to offer as well. If you're a bit more adventurous and outdoorsy, then Utah is definitely for you. Go hiking, biking, golfing, boating, or camping in it's lush scenery. You can check out the Navajo Tribal Park for historical and cultural learning, as well as the many National Parks to be found in Utah.
And definitely don't forget the snowing conditions:Utah's got great snow and lots of it, so you can ski, snowboard, snow tube, etc. You can also visit the largest saltwater lake in the Western Hemisphere: Great Salt Lake. Take your time exploring the beautiful areas, because the more people a place attracts, the more new residents it attracts, the less land it has but the higher the home value medians go.
Utah already leads the nation in home value appreciation and this sustained surge in the housing market continues to defy national trend. Only about three years ago, Utah had the worst home value appreciation in the country. Much of the state's real estate boom is due in fact to Utah's low cost of living, low unemployment rates and booming job opportunities. Job growth in the state is one of the highest nationwide. Home value averages are still rising for Utah, but most experts predict it will level out somewhat, since such high levels can't be sustained indefinitely. Already in certain areas gradually rising mortgage rates and tighter lending standards make it more difficult for buyers. For now Utah is a growing state and looks to continue - as long as job opportunities remain available and home value prices fair, Utah should have a booming market for quite a while longer.
About the author: Ashley Lichty is a webmaster and the resident SEO of Web Xtreme, Inc. She has a background in real estate and marketing with an emphasis in writing.
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