Salt Lake housing market outlook ranked among the country’s worst

A recent study by LendingTree unveiled disheartening news about the future of the housing market in Salt Lake City, ranking it among the five worst metropolitan areas in the United States. The study delved into various factors such as vacancy rates, the ratio of home value to income, and approvals for housing units in the top 100 largest metro areas across the country.

Many potential homeowners in Salt Lake City are feeling the weight of this looming crisis. Residents like Muriel Xomchitl and Jason Beal are struggling to find affordable housing that meets their needs. Xomchitl, currently residing in Mapleton, expressed the challenges she faced while trying to find a suitable home for her large family. Beal, who is renting a place in Farmington, mentioned that some affordable options in the market might not be entirely favorable.

Aaron Drussel, the Vice President of the Utah Association of Realtors, shed light on the existing predicament. He indicated that the primary driving force behind the market is first-time homebuyers, but there is a noticeable lack of accessible housing for this demographic. Data from a recent report by the association outlined a decrease in closed sales by 8.5% between April 2024 and 2025. Drussel emphasized that the average homeowner earns only 74% of the required income to purchase a home in the Salt Lake County area.

Despite the daunting statistics, Drussel encouraged discouraged buyers to stay optimistic and explore their options with an open mind. He advised potential buyers to conduct thorough research and map out a plan before making any decisions. The median home price in Salt Lake City has skyrocketed to $536,000 from around $250,000 in 2015, making the buying process even more challenging.

Individuals like Beal find themselves stuck renting due to the soaring prices, opting to commute from Salt Lake to Davis County for the time being. However, some, like Xomchitl, have managed to secure a home in places like Springville, albeit after an arduous search.

Drussel acknowledged the struggle faced by many in the current market, emphasizing the importance of perseverance and seizing opportunities. He pointed out that the average age of new homebuyers has increased from 33 in 2021 to 38 in 2024, highlighting the difficulties faced by aspiring homeowners. Despite the challenges, Drussel encourages potential buyers to remain hopeful, as there will always be opportunities for those willing to take the next step.