Salt Lake City Housing Affordability at Highest Levels on Record

The Utah Association of Realtors have released statistics saying that the level of home affordability in SLC is the highest level in record. The association said that 82.9 percent of homes sold during the first quarter of 2012 were considered affordable to families earning the median income of $71,300.

The previous record was set in 1993. That year, 82.7% of homes sold were affordable to median income earners.

This is not just a Utah trend: nationwide affordability also hit a new record high during the 1st quarter. For the country as a whole, 77.5% of homes were affordable to median income families (median income for the whole US is $65,000). The previous record nationally was 75.9% set in 2011.

The pattern of Salt Lake City affordability was repeated throughout the state: in Ogden, 91.1 % of homes were affordable. This makes it one of the top 25 most affordable places to buy in the country. In Provo, the affordability level fell just short of record highs: 84.3% rather than the 84.5% it was in 2011. The same is true for St. George, where the affordability of 1Q 2012 (75.7%) fell just short of the 3Q 2011 level (76.5%).

Why is this happening? In short, lower interest rates mean that monthly payments become more feasible for more middle-class families, even up to the 3rd quartile of home prices. In terms of income to monthly payments, more of your money goes to the cooler things in life than monthly home payments.

For more information how you can make your American dream a reality, check out our website with the ability to search all Utah homes for sale online, or call 801-859-7509 to talk with one of our buyers agents to help you with your specific situation.