Summer heats up local real estate market By Karen L. Willoughby
Low mortgage rates, high demand and the summer buying season have combined to increase house prices somewhat in southern Utah County, area Realtors say.
“Sold prices really jumped up in the first quarter of 2016 and leveled off until the fourth quarter of 2016,” said Tony Wardell, a Realtor for 15 years in Southern Utah County. “Now we are seeing a slight jump in prices in 2017.”
This is despite a considerable uptick in the number of permits issued for new homes, city officials say.
“Last year we issued 90 permits for new homes, which was the most we’ve done in the last 10 years or more,” Sean Conroy told Serve Daily on June 21. Conroy is Mapleton’s Community Development Director. “This year we have already issued 72 permits for new homes.”
In previous years, developers in Mapleton would build houses on perhaps five to 10 adjacent lots at a time, Conroy explained. This year, D.R. Horton is building 200 homes on 100 acres near Slant Road, and Alpine Homes is developing 30 lots along that road. Arive Homes has about 100 permits to build in the same general area.
Population increases — and thus, need for additional housing – have risen greatly since 2000.
• Springville was estimated in July 2016 by the U.S. Census Bureau to have a population of 33,044, up from 20,424 in 2000, a 61.8 percent increase.
• Mapleton: an estimated 9,512 in 2016, up from 5,809 in 2000, a 63.7 percent increase.
• Spanish Fork: an estimated 38,861 in 2016, up from 20,246 in 2000, a 91.9 percent increase.
• Payson: an estimated 19,810 in 2016, up from 12,716 in 2000, a 55.8 percent increase.
The increase in Mapleton is coming primarily from people north of Springville, Conroy said.
“Mapleton is a desirable place to live,” the city official said. “We are a unique community retaining a peaceful, This Mapleton home with six bedrooms and five bathrooms on a half-acre horse property was recently offered for sale in the mid-$400,000s range and expected to sell quickly. country atmosphere.” is here,” the Realtor continued.
There were 62 homes for sale in “If your home is priced well and in Mapleton on June 21, according to show condition, it will sell quickly.” the Homes.com website. The market Rates recently averaged 4.05 is tight enough that Wardell offers percent for 30-year fixed-rate mortgages, “Your home sold in 29 days or less according to Bankrate.com’s or it’s free” on his website, UtahSellanalysis. This is a slight uptick, Homes.com. according to the analysis, but rates
“In 2016 the typical homes stayed change weekly. on the market for just 52 days, about Homes that don’t sell within a week faster than in 2015 and the 90 days either have “issues” or are fastest year since Redfin began measuring priced incorrectly, Wardell said. in 2009,” according to a January “I recommend getting an appraisal 2017 article in Forbes business as another layer of proof for your magazine. “The brokerage expects home’s value,” Wardell said. “What 2017 to be even faster.” a buyer can pay and what a bank is
The average price of a home in willing to loan is based solely on Mapleton is $470,000. This is a part what a home appraises for.” of Utah County with scenic mountain In the Forbes article, experts backdrops, where some bare land noted seven trends in the housing acreages sell for $299,000. The price market for 2017: Prices will continue is based on what buyers are paying to rise, but more slowly; affordability for similar properties, Wardell said. will worsen; mortgage rates will
“The best things to do to get your be volatile; credit availability may home sold fast? It’s the three Cs,” improve; supply will improve but remain Wardell said. “It needs to be clean, short; Millennials will continue de-cluttered and have curb appeal.” to make up a large and growing portion
Mortgage “rates are relatively of the buyer pool, and demand low, demand is high and spring/summer will continue to increase.