An Outlook On The Salt Lake City Housing Market

Salt Lake City’s housing market has been a hot topic in recent years, drawing attention from homebuyers, investors, and economists alike. Known for its strong job market, growing population, and high quality of life, the city has seen significant home prices, demand, and affordability shifts. But what does the future hold?

In this blog, we’ll explore key factors shaping Salt Lake City’s housing market, analyze future trends, and assess whether now is the right time to invest. Whether you're a potential buyer, investor, or simply curious about the state of housing in Salt Lake City, this guide will provide valuable insights into how the market is performing and what to expect in the coming months and years.

Current Trends in Salt Lake City’s Housing Market

According to Redfin, Salt Lake City’s home prices in February 2025 are up 8.9% compared to the previous year, selling for an average price of $572,000. Top neighborhoods for real estate included The Avenues, Sugar House, and Downtown Salt Lake City, each experiencing rapid growth year over year. The Avenues' home prices increased by 1.4% compared to 2024, with homes selling for approximately $750,000. They spent an average of 38 days on the market, down from 56 days last year. In Sugar House, home prices increased by 8.1%, reaching a median of $638,000. These homes also spent less time on the market, averaging 36 days compared to 52 last year. Downtown Salt Lake City’s home prices saw a significant 14.2% increase, reaching an average of $490,000. In this part of the city, 41 homes were sold in February 2025, up from 32 last year.

How Competitive is Salt Lake City’s Real Estate Market?

Salt Lake City’s housing market is somewhat competitive, scoring 59 on Redfin’s 0–100 scale (with 100 being the most competitive). As of February 2025, the average home sells about 2% below the listing price and goes pending in 44 days. Nearby cities like Park City and Sandy have similar Redfin scores—56 and 59, respectively. Homes in Park City sell for about 3% below the list price, while Sandy's sell for 1% below. 

Migration & Relocation Trends in Salt Lake City

Over the last three months, most people have chosen to stay in Utah’s capital city. On average, 35% of homebuyers searched to move outside of Salt Lake City, while 65% decided to stay within the city limits. Salt Lake City's growing housing demand may be driven by a surge of homebuyers from across the country looking to move there. Across the nation, about 0.56% of homebuyers were looking to move into Salt Lake City from outside metropolitan areas. Los Angeles, Seattle, and San Francisco were the top cities people wanted to leave in favor of moving to Salt Lake City. The net inflow of potential homebuyers was highest from Los Angeles (759), followed by Seattle (322) and San Francisco (321). 

How Does Salt Lake City’s Housing Market Compare to Other Cities?

Salt Lake City’s median sale price currently sits 35% higher than the national average, but that’s not stopping people from moving to the Beehive State’s metropolitan area. Zillow projects Salt Lake City to be the nation’s 10th hottest real estate market in 2025, which tops the western region. 

Here are the other cities in the top 10 hottest real estate markets according to Zillow:

Tradingpedia states Utah is the third least affordable state for homebuyers, and Salt Lake City follows that trend. Only California and Hawaii have higher home price-to-income ratios than the Beehive State. Even with Salt Lake’s low inventory, which will continue to drive up housing prices, people still want to move to the metropolis and buy homes. This aspect makes Salt Lake stand out from other cities like San Francisco, where houses depreciate and sit on the market for extended periods. 

Future Projections for Salt Lake City’s Housing Market

Salt Lake City’s real estate market is one of the fastest-rising in the nation. Home values are predicted to see a 3.2% increase through December 2025, which means continued appreciation. 



Here’s how that projection compares to other cities in Utah:

Salt Lake City’s growth is expected to stay consistent with the rest of the state, though Heber, UT, is projected to experience more of an increase in home value. Overall, the Utah housing market is strong, and Salt Lake City plays a significant role.

Economic Factors to Consider for Future Projections

Job availability and mortgage rates largely impact Salt Lake City’s real estate market. While some experts believe Utah is in a major housing crisis, it isn't predicted to affect Salt Lake County’s housing market. The county has experienced a growing labor market, with employment increasing by 3.0% from December 2023 to December 2024, adding approximately 24,700 jobs. Additionally, the average weekly wage in Salt Lake County rose by 5.7% in the first quarter of 2024, reaching $1,546. These factors will most likely protect the real estate market in coming years against significant downturns, maintaining steady demand for housing despite broader economic concerns. 

Salt Lake City’s Real Estate Market: Is it a Good Idea to Invest in?

Salt Lake City is a hotspot for real estate investors, and there’s good reason for it. Here are a few things that draw investors to the city: 

• Demographic Trends: The city has experienced significant population growth from domestic migration and foreign immigration. Recent data indicates that approximately 19,100 people moved to the Salt Lake City metro area from abroad last year, while about 8,400 residents left, resulting in a net gain of 10,700 residents. Additionally, Utah boasts one of the youngest homeowner populations in the U.S., with over 14% of homeowners in the Salt Lake metro area under 35 years old, compared to the national average of 10.7%, resulting in a high demand for housing. 
• Cost of Living: Salt Lake City's cost of living index is 105, slightly above the national average of 100. This indicates that while living expenses are modestly higher than average, they remain relatively affordable compared to many other major U.S. cities.
• Quality of Life: The city offers a high quality of life, with a Quality of Life Index of 178.35, considerably higher than other metropolitan areas nationwide. Salt Lake City's dynamic cultural scene, proximity to outdoor recreational activities, and evolving urban development further enhance its attractiveness to residents and investors.
• Long-Term Real Estate Appreciation: Salt Lake City has experienced substantial home appreciation rates over the past decade. Specifically, real estate values have appreciated by 136.69%, averaging an annual appreciation rate of 9.00%, placing the city in the top 10% nationally for real estate appreciation. This consistent growth underscores the city's strong and resilient housing market, making it an attractive prospect for long-term investment.​

These factors collectively make Salt Lake City a compelling destination for real estate investors seeking growth, stability, and a vibrant community.

Become a Wealthy Real Estate Investor in Salt Lake City

Do you want to invest in Salt Lake City’s growing housing market? Or are you looking to buy a home in this naturally beautiful, economically rich city? Integrity Place Realty & Property Management’s Salt Lake City team of real estate professionals and property managers can help you find the perfect home or invest in a wealth-generating property. We provide expert-level property management solutions in Salt Lake County, from tenant placement to ongoing inspections. If you’re looking to buy or sell, we’re passionate about helping you find the ideal place or sell it at a profitable price. 

At Integrity Place Realty & Property Management, we know Salt Lake City’s real estate market like the back of our hands. Contact our team for 5-star services today.