Have you taken a look at any of the studies showcasing US housing market predictions for 2018? If you have, you’ll notice a relatively smaller city has become one of the places with a top real estate market: Salt Lake City, Utah.
Investing in Salt Lake City real estate has been predicted as a path to success in the housing market of 2018. If you’re a real estate investor looking for a new investment property to make money, investing in Salt Lake City real estate will be a great option.
Bonus: Scroll down to the end of the post to see how you can quickly and easily find a property and start investing in Salt Lake City real estate. Get a piece of the hottest real estate market today!
Why Is Salt Lake City Real Estate Attracting More and More Real Estate Investors?
While housing market trends have usually found real estate investors in some of the larger cities of the US, there has been a shift in the last few years. Smaller, relatively less populous cities are attracting out-of-state investors, and Salt Lake City real estate is reflecting this change in housing market trends.
Real estate investors tend to gravitate to larger cities in the US housing market for a few good reasons:
1. If the choice of a real estate market is a good one, a real estate investor can quickly see an increase in the value of the investment property as well as the rental income.
2. Bigger real estate markets have more buyers, meaning a real estate investor can easily sell an investment property.
3. It’s pretty easy to invest as an out-of-towner in these kinds of real estate markets, simply because they are customized for real estate investing.
So, why are more and more real estate investors going for smaller, secondary markets including Salt Lake City real estate? One of the housing market trends at play here is affordable housing. While affordable housing is decreasing in larger real estate markets, the Salt Lake City real estate market has a housing affordability index of 139.0.
Related: Where to Look for The Best Real Estate Investments for 2018
If you’re a beginner real estate investor unfamiliar with the housing affordability index, it’s basically a measurement that compares the median household income to how much income is needed to purchase a median-priced house. The housing affordability index for Salt Lake City real estate means affordable housing for real estate buyers and more buyers for real estate sellers.
Salt Lake City Real Estate: A Buyer’s Market or A Seller’s Market?
One of the housing market trends affecting Salt Lake City real estate is the recent shift from a seller’s market to a buyer’s market. Previously, Salt Lake City real estate was low in property inventory, which drove up prices for real estate sellers. Now, with a growing economy and businesses looking for Salt Lake City real estate, there is an increase in Salt Lake City real estate inventory. This means Salt Lake City real estate is now in a buyer’s market.
What does a buyer’s market mean for real estate investors who purchase Salt Lake City homes for sale but wish to sell quickly? Well, in combination with the housing affordability index, they still have a chance to make great returns in a buyer’s market. The way a real estate investor can achieve this in the Salt Lake City real estate buyer’s market is to invest in entry-level single family homes. Low price Salt Lake City real estate is still relatively low in property inventory, and there is always a surplus of buyers looking for affordable housing, so single family homes are the way to go.
Affordable Housing + Millennials = More Buyers for Salt Lake City Real Estate?
30% of the population of Salt Lake City is between the ages of 15-34. US housing market predictions show that 43% of homebuyers that will be using mortgages to buy an investment property will be millennials. And, of course, their ability to do so ties into the affordable housing in Salt Lake City. Because of the high percentage of millennials in Salt Lake City, housing market trends will be in favor of real estate investors who purchase Salt Lake City homes for sale.
US Housing Market Predictions: Which Type of Salt Lake City Investment Property Is Hot?
2017 saw a significant rise in the value of commercial and residential Salt Lake City real estate. Salt Lake City real estate is looking the most promising for single family homes, for the reasons mentioned above. Along with single family homes, multi family Salt Lake City real estate is also predicted to do well. With the growth of businesses in the city, industrial and office Salt Lake City real estate are also forerunners in the real estate market.
What Kind of Returns Will Investing in Salt Lake City Real Estate Bring?
Looking at Mashvisor’s data on investing in Salt Lake City real estate, a real estate investor can get a general idea of what kind of returns he/she will see, before trying to find a property.
Median Price for Salt Lake City Homes for Sale: $431,231
Cash on Cash Return for a Traditional Investment Property: 1.91%
Rental Income for a Traditional Investment Property: $1,315
Related: What is a Good Cash on Cash Return?
How Can You Find Salt Lake City Real Estate Property?
Are you intimidated by the idea of trying to find a property that isn’t close to home? Or maybe you’re a local real estate investor having trouble finding a Salt Lake City real estate investment property? Mashvisor has made it easier than ever to find a property and get on board with housing market trends.
First, visit Mashvisor.com. Type in Salt Lake City in the search bar and click “Start Analyzing.”
This will bring you to Mashvisor’s heat map, which shows Salt Lake City homes for sale in different parts of the city.
Click on different areas where Salt Lake City homes for sale are located and use Mashvisor’s data to help you choose a neighborhood where you can find a property that suits your investment goals. The Mashmeter gives a rating of how good investments will be in a specific neighborhood. For example, one of the top neighborhoods for Salt Lake City real estate happens to be Central City-Liberal Wells. Take a look at the Mashmeter rating:
From there, use Mashvisor to find a property in the Salt Lake City neighborhood of your choice. Any real estate investor will be able to do so in a matter of minutes.
There’s no reason why you shouldn’t start looking for an investment property in Salt Lake City real estate right now. You have the reason, and now you have the tools at your fingertips. Click here to get started.
Related: Seattle Real Estate: The Best Investment Properties of 2018