HOUSING + HOMELESSNESS

Utah’s about to become more renter-friendly

Jul 18, 2023, 5:00 AM | Updated: 12:07 pm

SLC becoming more renter-friendly...

New data suggests that Utah's housing market is about to become a lot more renter-friendly. Housing construction and other construction in Salt Lake City on Tuesday, May 30, 2023. (Scott G Winterton, Deseret News)

(Scott G Winterton, Deseret News)

SALT LAKE CITY— New data suggests that Utah’s housing market is about to become a lot more renter-friendly.

A recent report by market intelligence company Yardi Matrix shows that Salt Lake City’s rental prices, population growth, and owner transactions have decreased over the last several months.

“Net inbound migration has gone down a little bit for the Salt Lake area as opposed to the last few years,” explains Doug Ressler, manager of business intelligence with Yardi Matrix.

This means the population density has reduced from what it was during the pandemic.

The report states that by the end of February, there were over 18,000 rental units under construction in Salt Lake City. Another 45,000 people were in the planning and permitting stages. However, some developers may delay plans until next year or later.

Ressler says that an increase in property supply with a decrease in population growth means renters are likely to have more bargaining power.

“We anticipate that because of the new supply coming on board, it will be a much more renter-friendly type of environment,” he says.

Part of this renter-friendly environment will include certain concessions.

As developers look for people to fill their new supply of apartments, they will be more willing to provide better rates, causing the rental rate to continue to decrease.

“You will see concessions. Again, very renter-friendly type of things where you’ll be able to negotiate more concessions towards Q3 and Q4 this year,” Ressler states.

Even though data shows Salt Lake City’s competitive edge may be softening, it’s still among the top competitive cities in the nation.

Competitive renter-friendly cities

A study by RentCafe, sister company to Yardi Matrix, analyzed 137 rental markets in the nation.  Salt Lake City ranked 34th most competitive.

They created a Rental Competitivity Index (RCI) for each city using five different factors:

  • The number of days apartments were vacant
  • The percentage of apartments that were occupied
  • How many renters applied for the same apartment
  • The percentage of renters who renewed their leases
  • The share of new apartments completed

This rental season, they calculated the nation to be “moderately competitive.”

Although softening somewhat, Utah’s capitol city remains to be more competitive than its neighboring markets.

“Salt Lake City is one of the most competitive markets in the west,” says Ressler.

With an RCI score of 64, Salt Lake only falls behind Montana and Alberquerque. Ranking higher than Boise, Denver, Las Vegas, and Phoenix.

Related: Utah’s first-time homebuyer aid program begins Tuesday

We want to hear from you.

Have a story idea or tip? Send it to the KSL NewsRadio team here.

Housing + Homelessness

a man moves boxes at the crossroads urban center...

Simone Seikaly

Crossroads Urban Center reports “unprecedented” need for food

Officials from the Crossroads Urban Center say a monthly bill that most people have is eating into the ability to buy food.

16 hours ago

Homelessness advocates in front of Supreme Court...

LINDSAY WHITEHURST and CLAIRE RUSH Associated Press

With homelessness on the rise, the Supreme Court weighs bans on sleeping outdoors

It's the most significant case in the Supreme Court in decades on homelessness and comes as record numbers of people are without a permanent place to live.

2 days ago

FILE -- The gathering room at the YCC Family Crisis Center in Ogden is pictured on Tuesday, July 9,...

Heather Peterson

Transitional housing for domestic violence victims opening soon in Ogden

Victims of domestic violence will soon have another way to escape dangerous situations in Weber County. The YCC Family Crisis Center is building transitional housing by way of a new 14-unit apartment complex in Ogden to house domestic violence victims. Domestic violence is cited as the reason 22-57% of women experience homelessness by the National […]

9 days ago

The housing market in Utah is competitive and shows minimal signs of slowing....

Aimee Cobabe

Unwelcome Home: Exploring the challenges of buying a home in Utah

The housing market in Utah remains as competitive as ever. Some people are braving it, some just can't stand it.

18 days ago

Nationally, economists think retiring baby boomers downsizing their homes could be a rapid solution...

Don Brinkerhoff

Utah’s housing shortage: Could baby boomers downsizing be the solution?

Nationally, economists think retiring baby boomers downsizing their homes could be a rapid solution to the housing shortage.

21 days ago

Single-family homes under construction in Saratoga Springs are pictured on Tuesday, July 19, 2022....

Adam Small

2023 saw far fewer building permits in Utah, report says

The Ogden-Clearfield metro area had the biggest percentage decline in building permits year-over-year, nose-diving by 34%.

28 days ago

Sponsored Articles

a doctor putting her hand on the chest of her patient...

Intermountain Health

Intermountain nurse-midwives launch new gynecology access clinic

An access clinic launched by Intermountain nurse-midwives provides women with comprehensive gynecology care.

Young couple hugging while a realtor in a suit hands them keys in a new home...

Utah Association of Realtors

Buying a home this spring? Avoid these 5 costly pitfalls

By avoiding these pitfalls when buying a home this spring, you can ensure your investment will be long-lasting and secure.

a person dressed up as a nordic viking in a dragon boat resembling the bear lake monster...

Bear Lake Convention and Visitors Bureau

The Legend of the Bear Lake Monster

The Bear Lake monster has captivated people in the region for centuries, with tales that range from the believable to the bizarre.

...

Live Nation Concerts

All the artists coming to Utah First Credit Union Amphitheatre (formerly USANA Amp) this summer

Summer concerts are more than just entertainment; they’re a celebration of life, love, and connection.

Mother and cute toddler child in a little fancy wooden cottage, reading a book, drinking tea and en...

Visit Bear Lake

How to find the best winter lodging in Bear Lake, Utah

Winter lodging in Bear Lake can be more limited than in the summer, but with some careful planning you can easily book your next winter trip.

Happy family in winter clothing at the ski resort, winter time, watching at mountains in front of t...

Visit Bear Lake

Ski more for less: Affordable ski resorts near Bear Lake, Utah

Plan your perfect ski getaway in Bear Lake this winter, with pristine slopes, affordable tickets, and breathtaking scenery.

Utah’s about to become more renter-friendly