In bust's aftermath.... $200,000 is a home sweet home
At the height of the Wastch Front's real estate market, finding a home in great condition for around $200,000 wan't all that easy. In fact, depending on the neighborhood, it could be difficult - even possible.
But after three years of post-bubble price declines, something in that price range in move-in condition is vastly easier to come by.
Today, the median sellign price in Salt Lake City is around $200,000, meaning half the homes sell for more, half or less. And as Salt Lake Board of Realtors President DeAnna Dipo demonstrated on a recent tour of homes for sale, you can get a nice hosue and neighborhood for that amount of money.
Desitnation Sugar House > At the market's zenith. those who wanted to buy in popular areas such as Sugar House in Salt Lake City faced slim pickings in the low $200,000 range. The patch of neighborhoods, roughly bordered by 900 East and 1700 East, 1700 South and 2700 South, has always been sought after, with homes typically selling at a premium.
Dipo remembers well the frustration of buyers in 2006 and 2007. "It was hard to find anythign nice, updated and clean in sugar house even for $285,000," she said.
But on a recent weekday, Dipo showed a home around 900 East and 2700 S that was all that- in fact the interior looked much liek a model home. It was bright, airy, clean and tidy, and the asking price was $219,000.
Before the downturn, "this could have sold for as much as $300,000," Dipo said. Although the homes was bult in 1915, it's been remodeled and updated, with features such as granite countertops. It has 2160 sqaure feet, a large lot, a two car detached garage, an outdoor patio with fireplace and a seperate mother-in-law apartment with small kitchen.
Even though it's in great condition, Dipo said the homes seller probably will still have to come down on the price a little, probably to about $200,000 bacuase of it's location on a busier street. Many potential buyers are fearful prices will continue to deteriorate and are trying to get the best deal possible to hedge against further declines.
Resistance is futile > Despite the realities, Dipo said, there are soem sellers still trying to find someone willing to pay what their home might have been worth a year ago or even three. that's why she can't help swinging by a Sandy home that has languished on the market at $300,000.
"They'll never get that much," she said during a walk-through. In fact, she believes the home sill end up selling in the low to mid $200,000's.
There's nothing wrong with the property, she explained. It has a nice roomy backyard with a deck, waterfall and gazebo. But it's just priced much too high, especially for its average interior condition and ameneties, she said. there are too many other competing properties with similar ameneties that are in top condition and priced more realistically.
"It needs to be cleaned up and they need to drop the price. It's a price war and a bauty contest right now, and if you want to sell, you have to be priced right and look good."
Salt Lake Tribune by Lesley Mitchell
