Location: Provo-Orem-Lehi, UT | Metro: Provo-Orem-Lehi, UT MSA
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,200 |
| 1 Bedroom | $1,210 |
| 2 Bedrooms | $1,380 |
| 3 Bedrooms | $1,910 |
| 4 Bedrooms | $2,310 |
| 5 Bedrooms | $2,680 |
| 6 Bedrooms | $3,002 |
| 7 Bedrooms | $3,242 |
| 8 Bedrooms | $3,404 |
U.S. Census Bureau data (2024)
The real estate landscape in ZIP 84663 (Springville, UT) suggests a balanced market where pricing power remains relatively stable over the next 12-24 months. With a median home value of $509,282, only 0.2% of listings have been reduced, indicating that sellers maintain strong leverage. This low reduction rate combined with a median days on market (DOM) of 27 days signals a market where homes sell quickly at or near asking price.
The rental market provides additional insights. The Fair Market Rent (FMR) for ZIP 84663 is set at $1,150 for fiscal year 2024, while the actual Zillow Observed Rental Index (ZORI) stands at $1,581. This gap between government estimates and market rates highlights an opportunity for landlords to command higher rents, reflecting the demand for housing in the area.
For long-term investors, the setup implies a moderate appreciation thesis. The combination of quick sales, minimal price reductions, and a rental market that outperforms government benchmarks points towards a steady increase in property values. However, the modest appreciation rate should be expected given the current conditions. Landlords and small-portfolio investors can anticipate a gradual rise in equity, but significant jumps in home values are unlikely.
In summary, the data paints a picture of a market where pricing power leans towards the seller and landlord. The median home value, low listing reduction rate, and short DOM suggest a robust selling environment. On the rental side, the disparity between FMR and ZORI indicates a favorable position for landlords to charge above the estimated fair market rate. For those holding properties long-term, the potential for moderate appreciation exists, though rapid growth is improbable.
Data Sources: FMR data from HUD (2027). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.