4Plex (BFR) investments in Odgen, UT

[Satya Y.]

I am looking to purchase new construction 4plex investment property in Ogden UT area (12th & Washington blvd). Price point around 1.1M 

Would like to know about Ogden UT real estate market, any   large price correction in pipeline?  Also how are the vacancy rates and new inventories?

Will there be rental value compression?  Co- star reports 9+% vacancy rates which seems very high. Is that normal in that area? 

What will be the long term growth potential for Ogden in next 5 years?

Any other pit falls to avoid? 

Thanks in advance 

[Carl Davis]

I deal with mainly SFH with ADU's or MIL apartments and own two rentals in Ogden myself. I can't speak too much on new multifamily construction however the NAR reported in August that the Ogden-Clearfield area was the number 10 gaining metropolitan area in appreciation in the country in 2022 Q2 at 25.5 percent.

This is partially why I have a lot of faith in the market. Weber county is also the cheapest county within the "corridor" (median price between Davis, SLC, and Utah counties). With higher interest rates looming and the Northrop Grumman building just finished in the Riverdale area there will be more people looking for homes in this area.

Ogden also seems like it's going through a period of gentrification. New construction everywhere but don't have a lot of data to back that but I'm sure you could find some.

As far as vacancy goes I could believe it depending on your rental price points. Seems like there is no shortage of people needing to rent but to find qualified tenants has been our biggest struggle.

Message me if you have any questions.