My New Blog

You Can't Lose!

With the significant increase in the values of properties along the Wasatch Front over the last three years, 2007 saw owners taking the opportunity to cash out and appreciate their returns.  Many investors have taken these returns and done 1031 exchanges back into new properties which helped drive sales in 2007.

Selling this year?  Market fundamentals such as strong rent growth, below 5% vacancies, one of the strongest economies in the country, projected 80,000 plus new residents in Utah in 2008 and tightening lending policy for new home buyers will continue to drive the market in 2008.  Because of these fundamentals, even with rising expenses and the challenges around commercial lending, properties are expected to still hold their value in 2008 benefitting both the buyer and seller.  With the potential for significant political change in Washington, some investors may start to consider selling to avoid having to pay an additional 5% increase in capital gains with the upcoming tax relief sunset in 2010.

(ARA Apartment Realty Advisors) January 2008