Market Conditions for Salt Lake City, Utah Reported by Mark Watterson, Broker, Realtor Updated June 20, 2008.

Current Market Rating: 2 1 2 3 4 5 Buyer's Seller's

Current Price Trend: 3 1 2 3 4 5 Falling Rising

June 2008 Market Conditions

What are the current conditions?

We are now into the first quarter and the market in Utah is remaining stronger than the Nation Real Estate Market. This will continue throughout 2008 and into 2009.

As we finish the second quarter let's look at the numbers for Salt Lake County by comparing 2007 with 2008.

We have seen the following:

Days on the market increase from 40 to 58.
Sold's have reduced from 3153 to 1852
New Listings have increase from 7515 to 8212
New Asking Price is FLAT
Sales Price is FLAT

What does the coming year have in store?

1-Strong employment-Utah has low unemployment rate

2-Quality of Life-Utah is highly rated place to live

3-Strong commercial construction.

4-Home prices will stabilization while residential homes sales strengthen throughout 2008 compared to 2007 Q3 and Q4.

The past year has not made a lot of sense when you compare Utah with the National market. What are some of the possible reasons for the softer sales and FLAT?

1-FEAR, FEAR, AND MORE FEAR. Buyers have believed the negative national news and are making it come true for our local market.

2-Sub prime mortgage turmoil. Resulting in shrinking of the pool of buyers.

3-Negative National Real Estate news. That normally does not apply. We normally run opposite of the national markets. Especially the California market.

4-Speculators inflating our housing market, making homes unaffordable for many buyers. In the past years, now speculation history and investors are remaining. Investors provide a necessary resource of rental homes. Especially in this tight money market where many simply cannot qualify to purchase in today's market.

We have been through a price correction in Q3, Q4 2007 and Q1 2008. Q2 2008 will continue to be flat with possibly more (much smaller) price correction.

However, I would not suggest you bet on it. Our market has great value now. Buyers if you're sitting on the sideline waiting for better prices. I believe your making a big mistake.

For specific market area details please visit www.MarkWatterson.com or call me 801.815.0411

Mark Watterson is a Principle Broker with Principle Realty Group, Inc and a licensed Senior Mortgage Loan Specialist with Envision Lending Group.


ZIP Codes: 84101, 84102, 84103, 84104, 84105, 84106, 84107, 84108, 84109, 84111, 84112, 84113, 84114, 84115, 84116, 84117, 84121, 84123, 84124, 84134, 84144, 84180

Location Characteristics: *Salt Lake City History

In ancient times Utah was inhabited by various Native American groups. The ancient Pueblo People, also known as the Anasazi, built large communities in southern Utah from roughly the year 1 to 1300 AD. The Ute Tribe, from which the state takes its name, and the Navajo Indians arrived later in this region.

Salt Lake City was founded on July 24, 1847, by a group of Mormon pioneers. (Mormons are members of the Church of Jesus Christ of Latter-day Saints.) The pioneers, led by Brigham Young, were the first non-Indians to settle permanently in the Salt Lake Valley. The founding group numbered 148, consisting of 143 men, three women, and two children.

The Mormons came to the valley in search of a region where they could practice their religion, free from hostile mobs and persecution. When Brigham Young first saw the valley he said, "This is the right place."

On the very day of arrival the pioneers began tilling the soil and planting crops. Within a few days plans were drawn for Great Salt Lake City, named after the salty inland lake which dominated the desert to the west. Out from the center of the city, now Temple Square, blocks were arranged on a grid pattern in 10-acre squares, separated by streets 132 feet wide -- "wide enough for a team of four oxen and a covered wagon to turn around."

In 1848, more emigrants came to the valley. But a late frost, drought, and a plague of crickets nearly destroyed the harvest. Flocks of seagulls consumed the crickets and enough of the crop was saved to enable the settlers to survive the winter of 1848-49. In gratitude, the seagull was later designated Utah's state bird.

Many of the pioneers were European converts to Mormonism. During the decade that followed they brought their culture, languages, and skills to the valley, building Salt Lake City into a cosmopolitan center.

When the Mormons first arrived in the valley the region was part of Mexico. A treaty signed in 1848 ceded it to the United States, and in 1850, the "State of Deseret" became the Utah Territory. Deseret means honeybee, a symbol of industriousness. Utah's state symbol is the beehive.

Construction on the Mormon temple began in 1853, but the capstone of this magnificent structure was not put into place until 1892. The temple was built with granite blocks which, until a branch railroad line was run into Little Cottonwood Canyon, were individually hauled by ox and wagon from the canyon to the building site.

The California gold rush brought emigrants through Great Salt Lake City. U.S. soldiers were stationed here in the 1850s and during the Civil War. Trade with these sojourners brought to the Mormons a measure of prosperity, although agriculture continued as the mainstay.

In 1869, the transcontinental railroad was completed by the driving of the Golden Spike at Promontory Summit, some 80 miles northwest of Salt Lake City. Utah was thus connected to the East and West. Many people traveled by rail to see the "City of the Saints." Some stayed to make and to lose their fortunes in mining. From the 1860s to the 1920s hundreds of copper, silver, gold, and lead mines were opened in the nearby canyons, including Bingham Canyon. Gigantic smelters were later built to refine the ore. Some prosperous mine owners constructed large, gracious homes along South Temple, once known as Brigham Street.

The 1890s were a decade of change. The Mormon Church officially ended the practice of polygamy. In 1896, Utah became the 45th state and the third to extend the vote to women. Salt Lake City was its capital. "Great" had been dropped from the name in 1868.

Salt Lake began to assume its present character in the early 1900s. The State Capitol and many other historic buildings were constructed. Electric trolleys, garaged at Trolley Square (now a popular shopping mall), were installed to transport people living in the Avenues, Capitol Hill, Liberty Park, and Sugar House areas to downtown. The trolleys were gradually replaced in the 1930s by buses. The last streetcar line was discontinued in 1941.

Eagle Gate, which had served to mark the entrance to Brigham Young's estate, was reconstructed to allow traffic flow. City parks were built, sewer systems and street lighting were installed, and streets were paved. Between 1900-1930, the city's population nearly tripled.

The Great Depression brought construction to a standstill, but the boom sounded again during World War II. War industries and military installations revitalized the economy. Workers and soldiers spent their money in the city's restaurants, shops, ballrooms, and theaters.

During the 1960s several commercial and service centers were built in the suburbs, drawing business away from downtown. To help counteract this movement, the Mormon Church invested $40 million in development of a downtown shopping mall. The ZCMI Center Mall, named for Zions Cooperative Mercantile Institution, a prominent retail chain which was begun in Salt Lake's pioneer days, is the result of that effort. In the 1970s new businesses and shopping malls were built and classic older buildings were renovated. City-wide beautification projects generated vitality and activity in the downtown community.

Salt Lake continued to grow in the 1980s. Development included the Salt Palace Convention Center expansion, the Salt Lake International Center, University of Utah Research Park, and Triad Center.

The downtown skyline changed again in the 1990s when the Salt Palace Convention Center was rebuilt and a major office tower and new courts complex were constructed. Redeveloped city blocks, restored building facades and new urban parks further enhanced the beauty of downtown.

The Salt Lake City International Airport added a new runway, an international arrivals building, duty free shops, a multi-level parking structure, and an 18-hole golf course.

Utah continues to experience strong economic and employment growth. Ranked one of the best environments for business, the Salt Lake area's concentration of biomedical, high technology, and software firms is among the highest in the nation.

Thriving convention business and the success of the 2002 Olympic Winter Games sparked robust growth in Salt Lake's hotel industry. Over two thousand rooms were added in anticipation of the Olympics, for a total of 15,800.

The Salt Palace Convention Center once again underwent expansion. It now features 53 meeting rooms, 370,000 square feet of exhibit space, and a 45,000 square foot ballroom. A 243,000 square foot suburban convention center has also been recently constructed.

Transportation projects have included the I-15 freeway reconstruction and the launch of TRAX, a $312 million light-rail system which transports passengers north and south through the Salt Lake valley and downtown.

Salt Lake was proud to host the Olympic Winter Games in February 2002. The largest city ever to host the winter games, Salt Lake prepared well in advance for the most prestigious event of its history. Many venues are still in place and are available for the public to enjoy and relive Olympic memories. The world continues to be welcome here! Please enjoy Salt Lake's colorful past, exciting present, and promising future.

*Information provide by http://www.utah.com/cities/slc_history.htm



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