SALT LAKE CITY — Almost nine out of 10 people who rent a living space in Utah are unable to afford to buy a home in the state, according to new analysis provided by the University of Utah's Kem C. Gardner Institute.
According to the data shared by the group, as of August, 88 percent of Utah renters can't afford the cost of a median-priced home in the state, which is $520,000. The study shared how those looking to buy a home in Salt Lake County last year needed an income of $153,000 to make the dream a reality.
In Salt Lake County, the gap between the median monthly mortgage payment ($3,603) and monthly rent ($2,475) stands at over $1,100, which shows why many choose to rent rather than own.
“Renting continues to be the only feasible option for the vast majority of Utahns, even as they aspire to homeownership. These affordability pressures underscore the critical need for more housing supply and policies that support both renters and future homeowners," said Paul Smith, executive director of the Rental Housing Association of Utah.
The state of Utah is currently ranked 10th in the country based on median home prices, according to the National Association of Realtors.
While Utah's rental market averaged approximately 10,000 units approved during a four-year period between 2019-2023, which brought numerous housing options for renters, that number dropped to just 1,268 units approved last year, well below the 4,900 units needed to meet demand.
