April 2022 St George Real Estate Market Update
St George, Utah, is heating up; the weather is catching up to the hot housing market. The housing market has been scorching for about two years now…but alas, we may be seeing a trend of slightly cooler market temps. Now let me emphasize…SLIGHTLY….
Back in February 2020, I sent out my blog report for the market—and in it, I wrote:
“Honestly, I wonder if this could be the calm before the housing surge. People are taking a life break, spending time with family or alone, and likely reflecting on life. Those who have been considering changing their current situation, moving across town, or cross country, may decide at this moment….(or once we are in the clear) to act now on these pent-up plans. Others may be financially forced into it, job or pay loss may result in forced sales and relocation. With ridiculously low-interest rates, stocks that were seeing all-time highs (I'm sure many people moved their profits to a more stable portfolio at the first sign of this impending trouble)…I don't know—I think we may see a bit of a frenzy when the wave recedes.”
Now I’m not going to say “I was right,” but, well…. I was right. It was speculation in unchartered territory back then-- that sentiment remains relevant today. My opinions to follow are still only speculation, so take it for what it may be worth.
Many of you already know what my current thoughts are (if you missed that, you can find it here: www.stgeorgeutrealestate.com/blog/st-george-real-estate-market-report-whats-come)
We may be seeing the mirror image or reverse reflection of the situation we were facing. That is now (mostly) in the rearview, and we are moving away. Multiple factors will both naturally and artificially cool the market. The feds being aggressive in raising the rates are significant contributors to the current landscape. Tired buyers, getting beat from multiple offer situations—only now to be priced out of the market with higher rates. Stocks and Feds are spooking investors who prefer to sit on the sidelines during volatility. Then….during a meeting yesterday, I heard the words that I genuinely believe will contribute to making my speculations a reality. Our lender was discussing options for loan programs…and the words “adjustable-rate mortgage” came up as “great” lending options. Yup…That’ll be one of the arrows in the hot air balloon.
Okay…Let’s talk about APRIL St George, Utah, real estate market conditions.
Below is my favorite market snapshot. I pulled a four-year into this one and marked April on the four years. April 2022 was quite comparable to April 2020 (almost “pre” pandemic) in SALES, but the real difference is INVENTORY. As a result….prices are insanely high.
A complementing and affirming comparison is for January 1, 2022, through April 30, 2022, compared to the same time in 2021 (greater St George residential).
The total ACTIVE homes were nearly identical, the same for “new listings.” The number of homes “under contract” is down 12%, and the “number sold” is down 13%. The irony is the average sale price was UP 30%. This will be an interesting statistic to watch.
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I am Paula Smith, Associate Broker with RealtyPath of St George. I have been a licensed, full-time real estate agent in Southern Utah since 2006. I have been selling residential real estate during all of the changes in the market and witnessing our St George area grow to become one of the fastest-growing cities in America. I keep my finger on the pulse and not only pay attention to what is going on, and I've accurately predicted future market conditions.
Allow me to be of assistance and earn your business. If you’ve got a home in Southern Utah that you’re thinking of selling and you’d like a property market report, I can send that to you.
If you're ready to buy or sell, I'm prepared to make it happen. 435-773-3751