Utah Housing Market Still Going StrongDec 01, 2017
Global businesses continue making Utah their home, specifically along the Silicon Slopes, bringing job opportunities and the need for housing. Due to the high influx of residents flocking to the area and the current housing demand, the new construction and rental markets are a necessity.
Our friendly entrepreneurial spirit and startup-friendly culture has been the draw for new companies, like Adobe, Twitter, EMC, and Workday, to either move or expands to Utah. According to Inc., Provo-Orem and Salt Lake markets lead the top three economic areas in “dollar-per-deal averages in venture-capital-backed tech startups.” Chris Ludeman, the global president of capital markets for commercial real estate firm CBRE, claims that “the key components for long-term, sustainable economic viability are all in place for the Salt Lake and Utah markets to prosper for years to come.” He also asserts that "the availability and quality of labor, the relative cost, and availability to house people (residential and commercial), the quality of education and opportunity for growth and the ancillary personal activities (for recreation) are attractive. . . . All of those factors — opportunity, lifestyle, personal and professional growth — are all important. If you can get those things working together and keep a positive business environment, people and companies will be attracted to come" (KSL).
Job growth, along with the population growth which accounts for approximately 46% through net migration, is evidence of a strong economic state. The cost of doing business in Utah is relatively low in comparison to Washington and California markets which makes Utah a viable option in terms of cost of living, taxes, and labor costs.
These key factors - opportunity, lifestyle, personal and professional growth - are what keep the Utah housing market going strong, and what will continue to help drive the market. Chris Conabee, Co-Chair of the Point of the Mountain Development (Draper) Commission points out that once the prison relocates in 2020, the “available 620 acres anchored between two fast-growing counties will be open for development will actually total 22,000 acres spanning northern Utah County and southern Salt Lake County” (Fox13now).
FIG is excited about the potential growth opportunities in Utah, and we will continue to look for land to develop as we feel it is a strong market for investors.