Not surprising at all, even expected an even higher ranking in the top 10
list.It doesn't take much effort to live, shop, and drive
around Utah to see how bad the Utah economy really is. Expendable incomes is the
root of economic growth and it is the most relative bit of information the state
never uses to evaluate the state of the economy. The state of the economy is
always measured by job numbers regardless of lost incomes. Personal income is
never put in the governors equation to establish the real state of Utah's
economy.But in all new home construction sites in Utah usually of 12
or less homes at a time it is taking more than a year to build and sell a dozen
homes. Used homes sell faster but sellers are forced into asset equity losses to
avoid foreclosures.Even the counties are making illegal changes to
property valuation laws by inflating uncontested valuations by county workers.
The valuation adjustments are high enough that to contest the yearly valuation
costs thousand of dollars to challenge the county tax departments. Legislators
turn their nose at complaints and won't enforce taxation laws by
Whet is interesting about these numbers is when you do the ranking correlated to
unemployment rate... there seems to little correlation between the two numbers.
With Utah's relatively "healthy" economy compared to its peers -
you would not expect Utah to be in the top quartile in the nation in
foreclosures.I know the popular talking points on the matter is that
is people who bought McMansions....but the value of the homes being foreclosed
is right in the heart of the middle class housing market, not the typical over
extenders market. It would be good to get some insight why such a conservative
state has a constant problem with the and bankruptcy filings.
I am not really sure what My2Cents is describing...... from the numbers, homes
are appreciating at a pretty good clip in Utah with YoY number being 11.4%.
That is a strong number. Add to that in 2008 Utah has 13+ months home
inventory on the market - that number is down to about 7 months. In the Salt
Lake Valley - that number is even stronger - up in Ogden, weaker. If you look at new home permits, pulled that number is also up, and per labor
statistics, Utah is about 30,000 short on demand for skilled construction
people. I am not sure if it is because people have so bought so
deeply into the sky is falling mentality... but the numbers just don't
match the impressions people have. Truth is probably in the middle, and of
course, for some, I am sure it is a lot worse than for others.
Coming from out of state I am surprised with how nice of cars and houses people
have here. And then you look at the stats and see that Utahn's make an
median household income of $57,000 and think you can afford all the cars, boats,
toys and house that they are making payments on.