# Utah

### Summary

Utah state is facing challenges to housing affordability. For every 100 low-income renter households, there are 67 units available that are affordable to them. The median household income in the state is $49,237 whereas the median rent in the state $1,040. Currently, the state is short over 21,558 low-income housing units, meaning rental units that are affordable to households earning ≤60% of AMI.

- 29.5% share of renter households
- 38.9% share of low-income households
- 42.9% share of rent-burdened households

### Renter population data

**Renters vs homeowners**

| Households         | % share  |
|--------------------|----------|
| Renter households   | 304,577  | 29.5% |
| Homeowner households | 729,074  | 70.5% |
| Total households     | 1,033,651| 100.0%|

**Low-income renter households**

| Households                          | % share |
|-------------------------------------|----------|
| Extremely low-income ≤30% AMI       | 37,081   | 12.2% |
| Very low-income 31-50% AMI          | 28,247   | 9.3%  |
| Low-income 51-80% AMI                | 53,082   | 17.4% |
| All low-income households <80% AMI   | 118,410  | 38.9% |

**Rent-burdened households**

| Households                         | % share |
|------------------------------------|----------|
| Moderately rent-burdened           | 73,368   | 24.1% |
| 30.0–34.9%                         | 28,153   | 9.2%  |
| 35.0–39.9%                         | 19,179   | 6.3%  |
| 40.0-49.9%                         | 26,036   | 8.5%  |
| Severely rent-burdened             | 57,229   | 18.8% |
| ≥50.0%                             | 57,229   | 18.8% |
| All rent-burdened households       | 130,597  | 42.9% |

### Affordable housing shortage

**Rent vs median household income**

|**Median household income**| Amount ($)   |
|---------------------------|---------------------|
| in 2010                    | 33,742                |
| in 2021                    | 49,237                |
| Increase (2010–2021)      | 45.9%                |

**Median rent**

| **Median rent**          | Amount ($)   |
|-------------------------|--------------|
| in 2010                  | 675            |
| in 2021                  | 1,040          |
| Increase (2010–2021)     | 54.1%        |

**Affordable housing stock**

|**Units**                 | Amount        |
|-------------------------|--------------|
| Supply (current stock)  | 43,770       |
| Demand (total units needed)| 65,328   |
| Shortage                  | 21,558         |

### Finance institutions

#### Utah Housing Corporation

**Utah Housing Corporation**  
2479 South Lake Park Boulevard  
West Valley City, UT 84120

#### LIST OF loan programs
- [Multifamily Tax-Exempt Bond Financing](https://jobs.utah.gov/housing/community/pab/index.html)
- [FHA Risk Share Loan Program](https://utahhousingcorp.org/pdf/FHARiskShareLoanProgram.pdf)
- **[Housing Credits Program](https://utahhousingcorp.org/pdf/2011%20LIHTC.pdf)**

### QAP document (Qualified Allocation Plan)

#### Utah
The QAP is a document that states, and a few local agencies, must develop in order to distribute federal Low Income Housing Tax Credits (LIHTCs), which can be awarded only to a building that fits the QAP’s priorities and criteria.

### Housing news

#### How Fed Rate Cuts Impact the Housing Market
The Federal Reserve’s recent rate cuts will influence the housing market, but the effects won't be immediate. **Key Takeaways:**
- Lower Mortgage Rates: Fed rate cuts have already reduced the average 30-year mortgage rate, which dropped from a peak of 7.79% in late 2023 to around 6.2%.
- Home Sales: As rates decline, more homeowners might be encouraged to sell.
- Ongoing Supply Issues: Housing supply shortages will persist, especially in high-demand areas.

#### Housing market won’t come ‘unstuck’ until 2026
Bank of America economists predict a gradual recovery in the US housing market. Home prices are expected to rise by 4.5% in 2024.

### Shortage statistics for ELI & VLI renters

_S&D ratio = Supply & Demand Ratio_

**List of counties**
| Name            | Households | % share | Households | % share | Households | % share | Shortage of units | S&D ratio |
|-----------------|---------------|----------|---------------|----------|---------------|----------|------------------|-----------|
| County statistics coming soon... |       |            |               |          |               |          |                  |           |

### Latest Updates

#### Homeownership among Black Americans
Homeownership is expected to rise among Black Americans, driven by Millennials and Gen Z entering the market. However, barriers remain such as rental affordability and mortgage denial rates.