Salt Lake City Real Estate Podcast with Justin Udy

The end of summer is just around the corner. Today, I wanted to let you know that you’re invited to our Client Appreciation event—our Back-to-School BBQ and Backpack Drive.

This is going to be a great event. There will be great food, face painting, a bounce house, and more. I personally love these kinds of events.

There are going to be a lot of opportunities for family fun, so don’t forget to put it in your calendar.

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This is an amazing opportunity to have fun and make a difference.

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Whether you stop by for a short time or stay for the whole time, we’d love to see you.

All we ask is that if you do come, we’d appreciate you bringing something useful for a child in need. School kits, backpacks, and other useful supplies will be donated to kids in needs in Utah foster care.

This is a great cause. So, even if you can’t make it out, we’d greatly appreciate any and all donations. This is an amazing opportunity to have fun and make a difference.

You can find all the information you need here:

If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon and seeing you there.

The current rental market is simply insane, and it's having an effect on our market.

I recently looked at a study by Yardi, a software company used by property managers, which looked at 250 cities and found that they're experiencing a 2% year-over-year increase in rent. They found that 203 of those cities actually had an increase in the last 30 days. The most interesting part was that Salt Lake City is the 13th fastest rental growth market in the whole country with a year-over-year increase of 7.7% in rent rates.

This affects our market in a few ways. For one, if you rent right now, you can buy a property, lock in an interest rate, and actually pay less for a mortgage than you currently pay in rent.

Secondly, if you haven't taken advantage of the market in the past and you're looking into how to build wealth, looking into the rental market might be a good option for you. We can help you make sure you know how to be a good landlord and educate you through the whole process. We also want to make sure you find a property that will have cash flow and bring you equity. We also want to be sure you have a cash flow that isn't affected if the market takes a downward turn.

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Real estate investment is one of the best hedges against inflation.

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That's why they say real estate is one the biggest hedges against inflation—as the market continues to grow, home values go up and rents go up.

Finally, if you're a landlord and have not increased rental rates in the last 18 months, considering doing so now. I've personally had to increase all my rent rates, so let's do a rent analysis for you if you think it might be time.

If you have any other questions about rental properties or investing in any kind of real estate, give me a call or send me an email. I look forward to serving you soon!

Interest rates are amazing right now, which has allowed many buyers to afford homes even as home values rise. The problem, though, is rates won’t stay this way forever. As soon as they rise, buyers will feel the buyer pinch and won’t be able to afford the same homes they once could.

How can you avoid this buyer pinch and get the home you want now? There are three things you can do.

First, when you’re looking at properties, make a list of the top 10 things you want in a home. Then narrow that list down to the top three items you absolutely must have. If a home that features all 10 things you want is too expensive, you can scale back and focus on your top three must-have items.

Second, consider looking outside your comfort zone. Unfortunately, sometimes the most sought-after neighborhoods are unaffordable to most buyers. Expand your search to other nice communities that are less expensive than your desired areas.

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If you’re looking for a home, now is a fantastic time to buy.

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Lastly, be creative and come up with a plan. Sometimes we have to ask ourselves if we have an asset or a way of putting more money down on a property to make it more affordable. We’ve done lease options where we tied up a property at a certain price to save the extra money to be able to put down and take advantage of the low rates.

Interest rates are great and so is our market. If you’re looking for a home, now is a fantastic time to buy. There are many other strategies you can utilize that we’d be happy to share with you as well, so feel free to pick up the phone and give us a call.

If you have any other questions, don’t hesitate to reach out to us. We’re here to help.

If you’re buying or selling a home with solar panels, here is what you need to know to make sure the transaction goes smoothly. Selling your Salt Lake City home? Get a free home value reportBuying a Salt Lake City home? Search all homes for sale If you’re buying or selling a home with solar panels, there are some important considerations you need to take into account. First, remember that when you get solar panels, you get savings. With savings, you’re adding value. Think of it this way—if you have an investment property, how do you determine its value? You get the rents and the expenses and take a capitalization rate based on the market. When you save money on a property, it adds value to that property, so one of the first things you must do if you plan on purchasing panels for your home or you already have panels is calculate what your savings will be every single month. First, what savings will you need to break even? Second, what are you going to calculate if you’re selling the property with solar panels on it so you can take those savings and demonstrate that as value? One of the biggest challenges I run into is how people advertise solar panels. Not all solar panels are the same, and in many cases it’s like comparing apples to oranges. Some are very high-end with great efficiency and some are more than 10 or 15 years old. The latter scenario can be a problem because technology is always changing. “ When you get solar panels, you get savings. ” If you’re a seller, you need to consider whether your solar panels were purchased or leased and if there is going to be a lien for them. Most people are still catching onto solar panels and may not be as excited about them as you are. They may not want to take on your lease. If they don’t want to take on your lease and you have to pay it off, you’ll have to remove them from the property. That means you’ll need to have the property inspected to make sure they’re properly removed. If you’re a buyer and you’ve evaluated the cost value and the benefit of the solar panels and decided whether they’re owned or leased, your next step should be to have a professional inspect the solar panels. A normal home inspector can’t examine them the same way a professional can, and that can cause appraisal issues. If you spend $50,000 for solar panels, are you sure an appraiser will be able to appraise it for $50,000 or more? They may be able to add an average increase of as much as $15,000, but a lot of times, it depends if they can really prove that value. This is why it’s so important to hire the right people, get the right product, evaluate if it’s paid off or not, and see if it’s truly a benefit for you. I love solar panels, and being energy efficient is very high on my list of priorities. Whether you’re buying or selling a property with solar panels, you must do your homework. If you’re a seller, this will ensure the transaction is handled in a systematic way and you get the most money out of your property and  the most savings. If you’re a buyer, it will ensure you get the best deal and that it’s getting negotiated correctly. If you have any questions about this topic or you’re thinking of buying or selling a home in our market, please feel free to reach out to me. I’d be happy to help.

Inventory has shrunk in our market when it comes to foreclosures, so remember not to pigeonhole yourself if you want to pursue that type of deal. Selling your Salt Lake City home? Get a free home value reportBuying a Salt Lake City home? Search all homes for sale Do short sales and foreclosures still represent a great opportunity in our market? I’ve personally bought and sold these types of properties for both my own inventory and for my clients, but there is a change in the market you need to be aware of. The percentage of foreclosures has dropped from 21% to 2%. That means you’re looking at a market with very low inventory. The basic issue when it comes to foreclosures and short sales is one of supply and demand. We have such a strong demand for this market because people’s perceptions are shaped by TV shows like House Hunters and other HGTV programming. However, you shouldn’t just look for distressed properties because that only makes up 2% of the market. “ Look for properties of value. ” Instead, you should look for properties of value. You should also look for properties where people are motivated and have a higher and better use. Lastly, you should look for properties that have a cash flow and equity position and an exit strategy. Foreclosures can be a good deal, but we’re finding out that since they’re a target where people essentially gravitate toward them, they get priced up to a retail value. After that, they're no longer a deal. Many times, these properties aren’t in desirable areas anyway. Remember, what qualifies as a good deal for one person might not qualify for somebody else. If your foreclosure or short sale is a good property in a good area, I would advise you to pursue it, but don’t pigeonhole yourself into that corner market. Look at everything the market has to offer and find other people who are looking and motivated to make something happen. If you have any questions about this or any other real estate topic, please feel free to give me a call or send me an email. I look forward to hearing from you.

Should you wait to purchase a property or take advantage of the current market? I’ll go over the latest market trends you should know in order to make the best decision for you and your family. Selling your Salt Lake City home? Get a free home value reportBuying a Salt Lake City home? Search all homes for sale Should you wait to purchase a property or should you take advantage of the current market? There are a few market trends that you should be aware of before you make this decision. 2016 had the strongest home prices that we’ve seen in a decade, with the average single-family home price of $295,000. Taking inflation into account, the average price in 2007 would have been around $290,000, so we have gone above and beyond that number. As a result, some people feel like the housing market might be heading toward another bubble. However, there are three reasons why we are not approaching a new housing bubble: Our population is growing quickly. Our city has one of the fastest growing populations in the country. We are in the top five for employment and job growth. The number of people moving into our state is up. Five years ago, we only had 2,000 to 4,000 people migrating to Utah from other states. Last year, 24,000 people moved in from out of state. So, not only do we have strong growth, we also have strong demand and insufficient supply. Last year at this time, there were only 3,000 homes on the market. Right now, there are only 1,800 homes on the market, which puts pressure on pricing and causes prices to go up. “ We are not heading towards another housing bubble. ” If you are thinking of buying a home, now is a good time to take advantage of a low interest rate and purchase a home. You can even make a lateral move; maybe the home you want isn’t priced much higher than your current home’s value. You don’t have to take on more debt, but you can get into the home you want if that makes sense for you. If you have any other real estate questions or if you would like help in your home search, give me a call or send me an email. I would be happy to help you!

Are you thinking about building a home this year? If so, you need to keep these three factors in mind. Selling your Salt Lake City home? Get a free home value reportBuying a Salt Lake City home? Search all homes for sale There are three challenges you'll encounter if you want to build a home this year that I wanted to outline for you. 87% of builders are concerned about labor shortages in the market. This is why prices have increased for both labor and materials. If you build a home this year, expect and understand that it will take longer, it may be harder to get subcontractors out there, and you might have to pay a little bit more because of market shortages.The cost of land. Land prices have gone extremely high, and since there's a shortage of inventory on the market, builders aren't building at the mass rate we saw before because of the affordability of land. Be aware that if you find a good piece of land that seems realistic, it’s probably worth a second look if you think you'd like it.Government zoning fees and regulations. Cities make money by charging these fees, so we're seeing them go up. These increases force builders to have to deal with them and it can bottleneck the home building process.Keep these three things in mind if you want to build a house this year. If you'd like more details on these three factors or you need any help buying or selling any kind of home in the Salt Lake City area, give us a call or send us an email. We'd love to help you out.

What kind of trends should you expect from the Salt Lake City market this year? There are four big ones you should focus on. Selling your Salt Lake City home? Get a free home value reportBuying a Salt Lake City home? Search all homes for sale There are a few trends coming in the 2017 Salt Lake City market that you should be aware of. Mortgage rates will go up. We urged people to take advantage of the low rates we saw last year that dipped below 4%. Rates have risen above 4% and are anticipated to rise to about 4.5%, which is a still an amazing rate historically speaking. I remember when rates fell below 7% and the market went crazy.Affordability will go down. The market is so strong right now; we have about 1,800 homes on the market and we're expecting a 5% to 8% increase on home prices. Millennials in our market. Millennials make up about 17% of our market compared to 14% in other markets. More of these buyers will enter the market this year and they will be a force to be reckoned with.You'll see more homes hitting the market in 2017. Homeowners want to cash in on their equity so we'll see a rise in available listings.Next time, we'll address the fear many people have about another housing bubble. Until then, if you have any questions about buying or selling a home, don't hesitate to give me a call or send me an email. I'd be happy to help!

Our client appreciation event is coming up soon. This time, we’re going to the movies! Selling your Salt Lake City home? Get a free home value reportBuying a Salt Lake City home? Search all homes for sale We have an exciting announcement to make today. It’s about time we hosted another client appreciation event, and we wanted to get you all the information you need about it. On March 18th, we will be renting out some theaters again for a special screening of the live-action “Beauty and the Beast” starring Dan Stevens and Emma Watson. We had such a great time at the event last year that we decided to do it again! Whether you have kids or not, this timeless classic will be enjoyable for everyone. I’m sure there are a lot of you out there who loved the original cartoon version. How exciting that we can pass that magical story down to younger generations in a new way! “ This timeless classic will be enjoyed by all. ” On March 18th, we’d like you to join us at the theater by 10:15 a.m. for the 11 a.m. movie. We want to make sure there is enough time for everyone to get their tickets because it’s on a first-come, first-serve basis. We will also have the star of the film, Belle, joining us. She’ll be available to take pictures before the movie! Click here to reserve your tickets We are really excited for this event. It’s such a great way for us to thank you for your business. If you have any questions for us in the meantime, don’t hesitate to give us a call or send us an email. We look forward to hearing from you.