Utah’s Housing Market Begins to Stabilize Amid Rising Interest Rates

The Salt Lake Chamber’s Roadmap to Prosperity Coalition, in partnership with the Kem C. Gardner Policy Institute, has updated the Economic Dashboard for July to help business leaders see where Utah’s economy stands. This tool provides data on the state’s economic outlook and actionable context for decision-makers.

“The economic dashboard is starting to show signs of tapering growth as inflation and interest rate hikes weigh on consumers,” said Derek Miller, president and CEO of the Salt Lake Chamber. “Utah’s economy remains strong with low unemployment, but housing prices showed a slight dip in median sales price. In addition, the continued decline in consumer confidence is concerning as it tracks a national decline following Fed tightening and record prices for consumer staples. Despite these challenges, Utah remains a net positive for industry growth across sectors.”

Three essential insights from the July 2022 Roadmap to Prosperity Dashboard include:

1. Utah’s unemployment ranks third in the nation. Utah’s June unemployment rate of 2.0% is the third lowest in the nation, tied with New Hampshire and closely trailing Minnesota and Nebraska.
2. Home prices begin to stabilize. After rapid housing increases over the last year, Utah’s median home sales price has begun to stabilize falling slightly from $535,050 in May to $530,000 in June 2022.
3. Consumer confidence lowest on record. Utah’s June consumer confidence is the lowest since data collection began in October 2020. National confidence is also the lowest in the survey’s 70-year history.

The Dashboard is updated monthly, providing essential insights, tracking ten timely and leading measures, and sharing pertinent indicators. This provides leaders with critical and timely information to make informed decisions.

“Utah’s broad economic growth continues to power our economy forward in the face of changing monetary policy and slipping consumer confidence,” said Natalie Gochnour, director of the Kem C. Gardner Policy Institute. “The dashboard shows our economy is stabilizing in key sectors like housing and job growth. Along with sustained air travel and retail sales, we remain positioned for moderate growth, despite the economic dislocation other states are experiencing.”

To view the Roadmap to Prosperity Dashboard, click here.