Ogden Real Estate Market Trends And Forecast 2020
If you want to invest in any real estate market, it is important to analyze the market as a whole before deciding to buy, sell, or invest in a new property. In this article, our focus will be on the Ogden real estate market and investment opportunities in 2020.
Ogden, Utah may not be on your map unless you already live in that part of the country, but it caught a lot of people’s attention when Livability ranked it the 59th most livable city in the country. Ogden is located north of Salt Lake City.
Ogden is home to just under a hundred thousand people. That alone makes it the seventh largest city in the state. However, the Ogden housing market is larger than this. Including cities like Clearfield and smaller towns in the vicinity, the Ogden real estate market includes half a million people.
We need to say that the size of a housing market isn’t a valid reason to invest in it – other market fundamentals are. Let us take a deep look at the latest Ogden housing market trends to find out whether you should consider Ogden real estate investment in 2020.
It is important to note that there are many variables that can potentially impact the value of a real estate in Ogden and some of these variables are impossible to predict in advance.
Ogden Real Estate Market Forecast 2020
The real estate data from Zillow shows that the current median home value in Ogden is $234,900, The Ogden real estate market saw a double digit appreciation as the home prices have risen by 14.6% over the last year. And looking forward into the coming year, the Ogden Real Estate Market Forecast is that home prices will continue to rise by 9.1%.
As local economy of Ogden continues to pick up steam in 2020, it will become very attractive to buyers in search of good job prospects along with decent home-buying value. The median home value in Ogden may hit $256,000 in Sep 2020.
The median list price per square foot in Ogden is $184, which is lower than the Ogden-Clearfield Metro average of $190. The median home price of current listings in Ogden is $225,000 and the median price of homes that have sold is currently unavailable.
However, Zillow reports that 27.56% of the listings in Ogden had a price cut in Sep 2019, which is a good thing for buyers. It shows sellers are willing to negotiate on prices as they’re finding it more and more difficult to sell homes at asking prices.
The median rent price in Ogden is $1,195, which is lower than the Ogden-Clearfield Metro median of $1,500. The median rent price in Ogden is predicted to increase to $1,230 by Sep 2020.
Ogden, being a college town, home to Weber State University, is a huge rental market. The university’s students and staff provide a large pool of potential renters of your rental property in Ogden. A good rental property in Ogden can give you gross rental yield of 6.3%, which is not bad considering the purchase price
Ogden Housing Market Forecast 2020 – 2021
Here is a short and crisp Ogden housing market forecast for the 3 years ending with the 3rd Quarter of 2021. The accuracy of this forecast for Ogden is 70% and it is predicting a positive trend. The LittleBigHomes.com estimates that the probability for rising home prices in Ogden is 70% during this period. If this price forecast is correct, the Ogden home values will be higher in the 3rd Quarter of 2021 than they were in the 3rd Quarter of 2018.
Ogden Real Estate Market Trends
We shall now discuss some of the most recent housing trends in the Ogden area. Ogden has a lot of good things happening, and a really active community that is working hard to make it a good place to live.
Due to higher home prices in Salt Lake, Utah, and now Davis counties, you might want to consider Ogden for your next real estate investment. In fact, many investors consider Ogden as one of the best buy and hold markets in the country, and also one of the least expensive.
Currently, Trulia has 959 resale and new homes for sale in Ogden, UT, including open houses, and homes in the pre-foreclosure, auction, or bank-owned stages of the foreclosure process.
The most popular neighborhoods are North End and East Central. Here you’ll find the maximum no. of listings. Currently, there are 113 listings in North End, Ogden, UT, and the home prices range from $19k – $2.27m. Additionally, there are 19 rental properties on Trulia within a range of $830 – $1.78k. The schools are rated between 2/10 – 6/10.
Similarly, there are 104 listings in East Central, Ogden, UT, and the home prices range from $69.8K – $2.2M. Additionally, there are 43 rental properties on Trulia within a range of $550 – $1.65K. There are a lot of condominiums in East Central, Ogden such as Solitude, Valley Terrace, The Heights, Mount Ogden Park, etc. The schools are rated between 2/10 – 7/10.
In the past month, 224 homes have been sold in Ogden, Utah as reported by Redfin.com. In addition to houses in Ogden, there were also 20 condos, 31 townhouses, and 28 multi-family units for sale in Ogden last month.
As per their real estate data, the Ogden housing market is very competitive and the real estate appreciation is in double digits. The average price of sold listings in Ogden was $245,000 last month, which is an increase of 14.4% since last year.
The average price per square foot of sold homes in Ogden is $131, which is an increase of 10.1% since last year. In the last three months, homes have been sold for around list price and have gone under contract in around 26 days, which means it is more of a balanced market where the demand meets the supply.
If there is hot home for sale in Ogden, sellers can hold good leverage in such negotiations and it can sell for about 2% above list price and go pending in around 7 days.
|Ogden Housing Market Trends in Sep 2019: Source Redfin.com|
|Median List Price||$255,000|
|Avg. Sale / List||100.10%|
|Median List $/Sq Ft||$129|
|Avg. Number of Offers||1|
|Median Sale Price||$245,000|
|Avg. Down Payment||9.50%|
|Median Sale $/Sq Ft||$131|
|Number of Homes Sold||224|
Additionally, there are 91 rental properties for sale, and their rent price ranges of $384 to $2.4K per month. The median rent is $1,270.
Pleasant View has a median listing price of $429K, making it the most expensive neighborhood. Jefferson is the most affordable neighborhood in Ogden, with a median listing price of $176K.
The median list price in Ogden is $245,000 on Movoto.com. According to them, the median list price in Ogden went up 2% from October to November. Ogden’s home resale inventories is 230, which decreased 1 percent since October 2019.
The median list price per square foot in Ogden is $129. Foreclosures and short sales remained the same as a percentage of the total market in November.
Ogden, UT Single Family Homes Statistics
Following the real estate market decline in 2007 in the U.S., single family rental homes became favorable options for investors, saving in construction or refurbishment prices. The quick turnaround for an owner to rent out their property means cash flow is almost immediate.
Single family rental properties have grown up to 30% within the last three years. Almost all the housing demand in the US in recent years has been filled by single family rental units.
U.S. single-family rental market has seen steady rent increases between 2010 and 2019. According to CoreLogic’s latest Single-Family Rent Index (SFRI), which analyzes single-family rent price changes nationally and among 20 metropolitan areas, it shows a national rent increase of 3% in April 2019, as compared to 2.8% in April 2018.
The average sales price of new homes sold in the U.S. fell by 1.6% year-over-year in July 2019, to $388,000, according to the U.S. Census Bureau. In fact, the median sales price of new homes sold fell by 4.8% to $312,800 over the same period.
For existing homes, the median price was up by 4.3% to $280,800 in July 2019 from a year earlier, according to the National Association of Realtors. July’s price increase marks the 89th consecutive month of year-over-year gains. Demand remains robust. During the year to July 2019, new and existing home sales increased by 4.3% and 2.5%, respectively.
As per the real estate company called Neigborhoodscout.com, the median house price in Ogden, UT is $173,291, which indicates that home prices in Ogden are above the national average for all cities and towns in the United States.
Single-family detached homes are the single most common housing type in Ogden, accounting for 61.11% of the city’s housing units. Three or four bedroom single family detached homes are the most common housing units in Ogden.
Other types of housing that are prevalent in Ogden include large apartment complexes, duplexes, homes converted to apartments and a few row houses. The city has a mixture of owners and renters, with 55.42% owning and 44.58% renting.
After the great recession of 2008, renting a home has increased exponentially across the nation. There are currently over 136.57 million housing units in the U.S. In 2018, the total number of homeowner households hit an all-time high of 76.2 million. 36.6% of households rent their homes and 64.4% buy their homes (2018 U.S. Census Bureau).
Currently, there are 225 single family homes for sale in Ogden, UT on Zillow. Additionally, there are 919 single family homes for rent in Ogden, UT. Under potential listings, there are about 0 Foreclosed and 45 Pre-Foreclosure homes. These are the properties that may be coming to the market soon but are not yet found on a multiple listing service (MLS).
Ogden, UT Foreclosures And Bank Owned Homes Statistics
As per the Ogden foreclosure data by Zillow, the percent of delinquent mortgages in Ogden is 1.0%, which is lower than the national value of 1.1%. There are currently 54 properties in Ogden, UT that are in some stage of foreclosure (default, auction or bank owned) while the number of homes listed for sale on RealtyTrac is 415.
In September, the number of properties that received a foreclosure filing in Ogden, UT was 15% lower than the previous month and 57% higher than the same time last year.
|Total No. of Foreclosures in Ogden||54 (RealtyTrac)|
|Homes for Sale in Ogden||415|
|Median List Price||$259,900 (0% ⇑ vs Aug 2018)|
Best Neighborhoods to Invest in Ogden Rental Real Estate
If you are looking to invest in the Ogden real estate, you should know the best places to invest in. The three most important factors when buying a real estate anywhere are location, location, and location. Location creates desirability.
Desirability brings demand. Demand would raise the price of your Ogden rental real estate and you should be able flip it for a lump sum profit. When looking to invest in Ogden real estate, you need to find places where the expected property appreciation forecast is positive.
The running costs for owning and managing an Ogden rental property should be low. The neighborhoods in Ogden must be safe to live in and should have a low crime rate.
The neighborhoods should be close to basic amenities, public services and shopping malls. There should be a natural and upcoming high demand for rental properties and a low supply of income properties.
There are 29 elementary schools, 29 middle schools, 23 high schools and 12 private & charter schools. Some of the best neighborhoods in Ogden, Utah are East Central Ogden, North Ogden, South Ogden, Capitol, Taylor, Massa, Mountain View, East Bench, Horace Mann, Mill Creek, T. O. Smith, Quail Ridge Estates and Packer Place.
Here are the best neighborhoods to invest in Ogden rental real estate because they have the highest appreciation rates (List by Neigborhoodscout.com).
|2||Weber State U / Harrison Blvd|
|3||Harrison Blvd / 26th St|
|4||Harrison Blvd / Valley Dr|
|5||Madison Ave / 24th St|
|6||Harrison Blvd / E 4600 S|
|7||7th St / Polk Ave|
|8||E 1700 N / N Mountain Rd|
|9||Jackson Ave / 24th St|
|10||12Th St / Liberty Ave|
Is Ogden a Good Place For Real Estate Investing?
Now that you know where Ogden is, you probably want to know why we’re recommending it to real estate investors. Investing in real estate is touted as a great way to become wealthy. Should you invest in Ogden rental real estate?
Many real estate investors have asked themselves if buying a rental property in Ogden is good investment? You need to drill deeper into local trends if you want to know what the market holds for the year ahead.
We have already discussed the Ogden housing market 2019 forecast for answers on why to put resources into this market. Although, this article alone is not a comprehensive source to make a final investment decision for Ogden but we have collected ten evidence based positive things for those who are keen to invest in the Ogden rental properties.
Investing in Ogden rental properties will fetch you good returns in the long term as the home prices in Ogden have been trending up year-over-year. Let’s take a look at the number of positive things going on in the Ogden real estate market which can help investors who are keen to buy an investment property in this city.
We’ll focus on real reasons to invest in the Ogden real estate instead of giving you vague appeals to buy a house or an investment property because of general ambiance and mere promises of future growth.
1. The Tourist Market
One reason to consider Ogden real estate investment is the tourist market. Ogden is close to three world-class ski resorts. On the other hand, it is home to hiking and biking in the summer, so there is a steady stream of tourists to the area year-round.
Ogden has compromised with the short-term rental industry. Short term vacation rentals are allowed in commercial zones.
The city voted to permit short term rentals in single family residential areas, though there are requirements like being able to respond to an emergency within thirty minutes, limits on off-street parking and having a business license for such rentals.
2. The Impact of Geography
We’ve already mentioned that Ogden is a short distance from three major ski resorts. More importantly, it is nestled in the mountains, and that limits the number of suitable building sites.
The city is hemmed in by several national parks to the east and the Great Salt Lake to the west. This will drive up the cost of properties in the Ogden housing market indefinitely.
3. The Affordable Ogden Real Estate Market
One point in favor of Ogden real estate investment is the relatively affordable Ogden real estate market. The median home price hovers around 130,000 dollars. This affordable real estate is driving many people here from the Salt Lake City area.
That is why home prices grew a little over 20 percent in 2019 and are expected to increase nearly 8 percent in 2020. And the city is a bargain compared to Salt Lake City. For example, a home in Ogden costs less than 150,000 dollars, 250K less than the price of a comparable home in Salt Lake City.
4. The Decent ROI
One reason to consider buying property in the Ogden housing market is the decent ROI. The rental rates in the city are skewed upward by the large number of students and tourists in the area.
Rent on the average apartment is roughly a thousand dollars a month, and that figure takes the 14 percent rental rate increase in 2019.
Note that this figure includes one, two and three bedroom apartments. A single family home will rent for much more.
5. The Quality of Life
Quality of life rarely draws people from around the country, but it will draw residents from surrounding suburbs. Ogden provides this in several ways. The city has an amazingly high walk score of 87. It is a rare suburb and semi-rural town that you can live in without a car.
Working for outdoor equipment manufacturers and getting to try out bikes and hiking gear on weekends is considered the dream job by locals.
6. The Strong Economy of Ogden
The Ogden housing market is appreciating because people move here for work as often as they to do live. For example, there are a number of good paying jobs in the IT, life sciences, aerospace and outdoor products manufacturing industries.
There are civil service jobs with the state tax office and the local hospital. And then there’s the college. This is on top of Utah’s employment growth rate of roughly 3 percent a year.
7. The Student Market
Ogden is home to Utah State University. This university is home to roughly 30,000 students. This is the largest public residential campus in the state. An estimated twenty thousand students live on or around campus, while another ten thousand commute to school.
Nearly a quarter of students at the college come from out of state. This creates significant demand for Ogden real estate investment properties around the college.
8. Demographic Momentum
The average American family has 1.5 to 2 children. The average Mormon family has 2.5 to 3 children. This is fueling population growth in Utah, especially around Salt Lake City. It has also led to the median age in Ogden being 30 years of age, ten years lower than the national average.
This means that the Ogden housing market is going to see continued growth for years due to a young, growing population. All of this contributed to 13 percent population growth since 2000.
9. The Favorable Tax Climate
According to Wallethub, Utah has the sixth lowest tax burden in the United States. That is mostly due to its low state income tax rate. The state came in eighth in the country on state business tax rates.
The state has an average 0.6 percent property tax rate, well below the 1.1 percent national average.
10. The Relatively Landlord Friendly Jurisdiction
Utah is not as landlord friendly as Colorado, Wyoming or Idaho, but it is far better than Arizona, California or Oregon. The state doesn’t require you to give receipts for deposits or rent, and you don’t have to pay interest on deposits.
Late fees don’t have a limit but must be written into the lease. Renters in an Ogden real estate investment property must pay rent even when repairs are necessary. However, tenants can break a lease and move out if the rental is dangerous (such as lacking heat) and the landlord hasn’t resolved it quickly enough.
Another point in favor of the Ogden real estate market is that it is fast growing but doesn’t have the risk of rent control legislation.
The Utah legislature drove a stake through that possibility in the eighties. This means property owners in the Ogden real estate market can continue to raise rental rates to match the market.
Ogden Real Estate Investment
Maybe you have done a bit of real estate investing in Ogden, UT but want to take things further and make it into more than a hobby on the side. It’s only wise to think about how you can and should be investing your money. In any property investment, cash flow is gold.
A good cash flow means the investment is, needless to say, profitable. A bad cash flow, on the other hand, means you won’t have money on hand to repay your debt.
Therefore, finding a good Ogden real estate investment opportunity would be a key to your success. If you invest wisely in Ogden rental real estate, you could secure your future. If you are a beginner in the business of cash flow real estate investing, it very important to read good books on real estate.
The less expensive the Ogden rental properties are, the lower your ongoing expenses will be. Roughly a $150,000 property is what some experts recommend starting with.
Most investors naturally gravitate to residential property investment. When looking for the best real estate investments in Ogden you should focus on neighborhoods with relatively high population density and employment growth.
Both of them translate into high demand for housing. If housing supply meets housing demand, real estate investors should not miss the opportunity since entry prices of homes remain affordable.
You must also collaborate and learn from savvy real estate investors who have retired early on in their lives by investing in some of the best real estate markets like Ogden, UT. The Ogden real estate market is relatively affordable for investors, but it also offers a favorable legal and regulatory climate.
Buying or selling real estate, for a majority of investors, is one of the most important decisions they will make. Choosing a real estate professional/counselor continues to be a vital part of this process.
They are well-informed about critical factors that affect your specific market area, such as changes in market conditions, market forecasts, consumer attitudes, best locations, timing and interest rates.
NORADA REAL ESTATE INVESTMENTS strives to set the standard for our industry and inspire others by raising the bar on providing exceptional real estate investment opportunities in the U.S. growth markets. We can help you succeed by minimizing risk and maximizing profitability.
The aim of this article was to educate investors who are keen to invest in Ogden real estate in 2019. Purchasing an investment property requires a lot of studies, planning, and budgeting. Not all deals are solid investments. We always recommend to do your own research and take help of a real estate investment counselor.
Other Best Places To Invest in Real Estate in 2020
The other best place to invest in real estate is Fort Wayne, IN. Fort Wayne is a mid-sized city that has achieved a high standard of living, full employment and family-friendly communities.
This has led to steady population growth and strong property appreciation without becoming overheated. And these are good reasons to invest here over larger and hotter real estate markets. The Fort Wayne housing market is affordable by both national and regional standards. The median home price in Indiana is around 180,000 dollars.
Another fairly good market to choose for real estate investment is Gilbert, Arizona. The Gilbert real estate market is appreciating without overheating. It has relatively high property prices but even better rents.
*Remember, caveat emptor still applies when buying a property anywhere. The information contained in this article was pulled from third party sites mentioned under references. Although the information is believed to be reliable, Norada Real Estate Investments makes no representations, warranties, or guarantees, either express or implied, as to whether the information presented is accurate, reliable, or current. All information presented should be independently verified through the references given below. As a general policy, the Norada Real Estate Investments makes no claims or assertions about the future housing market conditions across the US.
Tourist market https://livability.com/best-places/top-100-best-places-to-live/2019/ut/ogden https://www.standard.net/news/government/ogden-city-council-approves-vacation-rental-ordinance-in–/article_0d0e0707-6485-52e5-8310-73d302ec9371.html
Student market https://en.wikipedia.org/wiki/Utah_State_University
Favorable tax climate https://wallethub.com/edu/best-worst-states-to-be-a-taxpayer/2416/ https://taxfoundation.org/state/utah/
ROI https://www.rentjungle.com/average-rent-in-ogden-rent-trends/ https://www.rentcafe.com/average-rent-market-trends/us/ut/weber-county/ogden/
Market Prices, Trends & Forecasts https://www.zillow.com/ogden-ut/home-values https://www.realtor.com/realestateandhomes-search/Ogden_UT/overview https://www.movoto.com/ogden-ut/market-trends