If you are looking for the best mortgage rate here in Utah, you would have to review how much you earn in a year before planning to shop around for the best rates.
A 30-year mortgage with a 10% down payment for an average house in the state would require an annual salary of $83,720. The price in other parts of Utah may be more or less expensive, despite leading the country in terms of housing growth.
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U.S. Census Bureau data showed that Utah’s housing supply rose by around 22,180 houses to more than 1.08 million units in 2017, up 2.1% year over year. However, the higher stock failed to bring down prices in the state.
For instance, the average cost of a standalone house in Salt Lake County amounted to $345,000, according to the Salt Lake Board of Realtors. A sluggish increase in wages also doesn’t help first-time buyers, as salaries only climbed between 2.3% and 2.7% on an annual basis.
Home price growth in Utah has risen 3.3% per year in the last 26 years. However, Americans in other states would need to earn more than those in Utah if they want to afford a median-priced house.
A coastal home in Hawaii seems like a nice choice, although buyers need to earn an annual salary of 153,520 for a 30-year mortgage on a $610,000 home. In Washington, D.C., the median home price costs $549,000, which requires an annual salary of $138,440 to afford the same mortgage.
Homebuyers in California should earn $120,120 to cover mortgage payments on a house worth almost $500,000, while those in Massachusetts and Colorado need to make more than $100,000 to afford a home between $415,000 and $420,000.
Once you meet the salary requirements for a housing mortgage in your state, the next thing to do involves looking for the best rates and payment terms. It may be best to find a mortgage planner that can help you from choosing loans up to the application process.