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Current Listings:

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I'll update soon with information on the market, the properties I've sold recently, and more information on my current listings.

Economist: Homes may drop more

Already down 8%, S.L. County prices could fall another 9%

The downturn in Salt Lake County's residential real estate market will bottom out by the end of the year, with home prices having fallen a total of 17 percent, according to a top local economist. In comments echoed by others who track the market, Kelly Matthews said Wednesday that average selling prices already have fallen about 8 percent, to $286,250, from the third quarter to fourth quarter of last year. The Wells Fargo & Co. executive vice president expects the average to fall another 9 percent by the end of this year, to $260,000. "A 17 percent drop over 15 months is pretty aggressive," Matthews said, especially given Utah's relatively strong economy. The outlook beyond that is anybody's guess, he said, adding that home prices in the Salt Lake area probably are going to remain flat at least through 2009. A similar scenario is forecast for surrounding counties along the Wasatch Front. The upside, Matthews said, is that a steep home-price drop will help address the area's affordability issues. The state's run-up in prices in recent years has made homes less affordable because wage increases generally have not kept pace. Tighter lending standards put in place after the nation's subprime lending crisis also have made it more difficult for many families to qualify for a home loan.
With fewer people qualifying and fewer able to afford a house, sales and new-home construction along the Wasatch Front have declined substantially since last summer. Jillinda Bowers, president of the Salt Lake Board of Realtors, said she agrees with Matthews' forecast. "Yes, our market did need to stabilize, but I think it will be quickly taken care of." An economist with Moody's Economy.com who tracks Utah concurs, predicting improvement after the end of the year for a state market that he believes peaked in the fourth quarter 2007. Gus Faucher of the economic forecasting company predicts that statewide, the average home price will have fallen 11 percent, to $184,000, from the last quarter of 2007 to the end of this year. But he said that drop is still much less steep than western neighbors such as Arizona, where he estimates the decline will be 24 percent, and California, estimated at 21 percent. Matthews said he didn't analyze the residential markets in other metropolitan areas, but agrees that Utah's downturn not only will be shorter but less severe than in other states. "There's no doubt we didn't go up as high," he said. "The good news is that we don't have to go down as low."

By Lesley Mitchell The Salt Lake Tribune

Market Stats

I just wanted to share with my readers the current statistics in the market right now. I will refer to the number of homes in the Salt Lake and Davis County areas because that is where I mostly focus my business.

• There are currently 9286 homes for sale.
• In the last 30 days 685 homes sold.
• That means only 7% of homes on the market sold last month.
• There were 3246 homes that came on the market in the last 30 days.
• There is a 13.5 month supply of homes on the market right now.
• There were 15% more homes listed in the last 7 days than compared to what sold in the last 30 days.

These statistics are startling. Looking at these numbers we know that we are in a fast depreciating market. We are seeing 1-2% depreciation in every area of my market place. I predict that we will be in this declining market for at least 18 months and I don't see values hitting the peak that we saw last spring for another 5 years.

This down market has many positive sides to it, like:

• Not anyone can sell real estate, it takes skills to price a home ahead of the market, to stage a home, and to sell the home.
• If you are looking to move up, this is the perfect market to do so. You will get a better price on your home now than ever before.
• The Federal Reserve has been dropping interest rates dramatically to combat what they are calling the 'worst housing slup' this nation has ever seen.
• Sellers are desperate for a great agent to help them know how to sell their home now vs. waiting a few more months and getting less.

Utah's sagging home sales market likely to bring price decreases....

I wanted to share with you a great article from the front page of the Salt Lake Tribune this morning. I was able to share some information with the writer, Lesley Mitchell, and was quoted in this article. Here is the link: http://www.sltrib.com/ci_8073812.

UNDER CONTRACT

Here is a great example of the benefit of having a knowlegable realtor who knows the market and being willing to price your home right!
The home in Herriman that I listed only 2 weeks ago went under contract this week! It really is a wonderful thing to see that all of the skills that I am working so hard on for my clients are paying off. We were really able to get them a great price on this home and they are getting an increadible price on their next home.
Considering that only 3% of the homes in Herriman sold in the last 30 days we're pretty happy.

Just Listed in Herriman...

I just listed this beautiful home in Herriman for $275,000! Call me for more information at 450-0997. At this price - it won't last long!!