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- Mortgage Rate Hike Wipes Out $6.2 Billion in Potential Refinancing Savings
Mortgage Rate Hike Wipes Out $6.2 Billion in Potential Refinancing Savings
Utah Multi-unit Sales Up 14% YTD; Utah Lawmaker Proposes Ban on Corporate Home Buying; American Fork Fourplex Listed at a 6.5% Cap
David Robinson
October 09, 2024
New Listings
> Our team has analyzed these deals using our custom bulk property analyzer. If you’d like more detail regarding any of these listings, click the links below.
Canovo Group may not be the listing brokerage for the above properties. The information provided is not guaranteed and should not be relied upon to make investment decisions. Buyers should complete their own analysis and due diligence before making any investment.
Sold Listings
> Here's a roundup of multifamily properties sold over the past week. We've estimated their selling cap rates using our bulk analyzer.
Utah Market Snapshot
Type | YTD Median Sold $/Sq Ft | YTD Total Sold Listings |
|---|---|---|
Multi-Unit (2+ Units) | +5.67% | +14% |
Single Family | +3.17% | +2.59% |
> Multi-Unit (2+ Units): Sold Listings and Median Sold Price Per Sq Ft
Sold Listings is up 14% YTD going from 341 to 389.
Median sold price per square foot is up 5.67% YTD going from 239 to 253.
> Single Family: Sold Listings and Median Sold Price Per Sq Ft
Sold listings is up 2.59% YTD going from 27,739 to 28, 457.
Median sold price per square foot is up 3.17% YTD going from 225 to 232.
Rates & Financing
> Mortgage Rates as of 10/9/024
Source: Mortgage News Daily
Property Management
> The Value of a Good Tenant
When renewing leases remember the value of a good tenant. As discussed last week there is a dichotomy between tenant turnover and maximizing rents. When raising rents it is wise to recognize that not all tenants make you the same profit even if their rents are the same.
A tenant that pays on time, takes care of the property and is a good neighbor costs you less. Less maintenance, less wear and tear, and less time and energy with complaints. When we add in the time it takes to find a new tenant as well (usually 8-16 hours of work) it might make sense to negotiate the rent with a good tenant.
Let us know if we can help with your property management needs.
Get professional property management for only $39/unit. Learn more.
Headlines & Insights
Featured Story
> Mortgage Rate Hike Wipes Out $6.2 Billion in Potential Refinancing Savings
As mortgage rates surged back to 6.6%, about 275,000 homeowners who bought in 2023 missed out on potential refinancing savings, amounting to over $6 billion in lost savings over five years.
Main takeaways:
Homeowners who bought in 2023 with rates around 7.6% can still benefit from refinancing at today's 6.6%, potentially saving $391 per month or $23,460 over five years.
Recent rate volatility has drastically reduced the number of homeowners who could profit from refinancing, dropping from 434,000 to 160,000 eligible buyers.
Borrowers should consider refinancing costs and breakeven timelines, as further Fed rate cuts may not significantly lower mortgage rates, making it risky to delay refinancing.
More News and Reports
Federal Reserve Governor Adriana Kugler advocates for further interest rate reductions if inflation continues to decline, emphasizing a balanced approach to fostering employment while managing inflation targets. She highlights the resilience in the labor market amidst recent economic adjustments and supports ongoing careful monitoring of economic indicators to guide policy decisions.
Rep. Tyler Clancy aims to introduce legislation prohibiting large companies from purchasing single-family homes in Utah, aiming to preserve homeownership opportunities for individual buyers amid a challenging housing market. This initiative seeks to preemptively curb the influence of institutional investors, who currently hold a small portion of the state's housing market, to ensure fairer access for local families.
What did you think of today's report? |
David Robinson
Principal Broker/Managing Partner
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