Utah has long been celebrated for its stunning mountains, family-friendly neighborhoods, and thriving tech sector—but today, it is emerging as one of the top destinations for real estate investment in the United States. With rapid economic growth, consistent job opportunities, and surging housing demand, Utah’s real estate market is now firmly on the map for smart investors.
Whether you are interested in short term rentals near ski resorts or long-term rental properties in growing suburbs, your success starts with building the right home. In this post, we will break down why Utah real estate is booming—and how to design a custom investment property that maximizes return.
Why Utah Is a Prime Market for Investment Homes
1. Population Growth and Job Creation
Utah ranks among the top states for job growth and population increases. Cities like Lehi, Herriman, and Saratoga Springs are expanding rapidly, attracting professionals and families alike. This strong demand fuels both real estate investment and rental income opportunities.
2. A Diverse and Resilient Economy
From Silicon Slopes to healthcare and tourism, Utah’s economy is both stable and varied. This drives up housing demand and supports high occupancy rates in both long- and short term rentals. Investors benefit from low unemployment and rising wages, which help maintain low vacancy rates and a dependable tenant base.
3. High Demand in the Utah Housing Market
The Utah housing market continues to experience high demand, especially for well-located, thoughtfully designed homes. Rising home prices have made renting more attractive, creating a prime opening for real estate investors to step in with quality rental property offerings.
4. Opportunity for New Construction
While the Salt Lake City metro is growing, there is still land available in Utah County, Wasatch County, and beyond. These areas offer outstanding growth potential, particularly for new construction that meets current market trends—from energy efficiency to modern aesthetics.
How to Build an Investment Property That Performs
Not every new home is investment-ready. If you want to take full advantage of Utah’s real estate market, design your build with investment in mind:
✔️ Flexible, Income-Generating Floor Plans
Include basement apartments, mother-in-law suites, or bonus rooms that can serve changing needs. These layouts support both long-term rental income and adaptable family living.
✔️ Durable, Low-Maintenance Finishes
Use materials that reduce upkeep—like LVP flooring, fiber-cement siding, and quartz countertops. Low-maintenance homes help protect home equity and attract high-quality tenants.
✔️ Energy Efficiency = Long-Term Savings
Energy-efficient homes stand out in today’s market. Incorporating features like high-performance HVAC and insulation aligns with new construction best practices and adds value.
✔️ Smart Features for Remote Management
Smart locks, security cameras, and thermostats boost appeal and make property management easier for investors managing rentals remotely.
✔️ Curb Appeal with Local Character
Homes that match regional styles rent and sell faster. In Utah, mountain-modern and contemporary designs are in high demand—especially in upscale Salt Lake real estate and Cedar City markets.
Best Places to Build Investment Homes in Utah
If you’re exploring investment opportunities in the Utah housing market, consider these high-growth areas:
- Heber & Midway: Great for vacationers and year-round tourism.
- Lehi & Eagle Mountain: Booming with young professionals and families.
- Saratoga Springs: Lakeside living with excellent family appeal.
- Herriman & South Jordan: Affordable, spacious, and developing fast.
- Park City: Premium short-term rental returns if budget allows.
These neighborhoods offer everything from affordable housing opportunities to luxury builds with high rental income potential.
Real Estate Investment Case Study (Representative Example)
One investor partnered with Roots Builders to create a custom investment property in Utah County. The home included:
- Two self-contained units with private entrances
- Energy-efficient appliances and materials
- Contemporary curb appeal designed for Airbnb
Within six months, both units were generating strong rental income—outperforming similar homes and offering a better return than traditional commercial real estate projects.
Why Custom Builds Outperform Pre-Built Homes
Many real estate investors start with pre-built homes—but that often means compromising on layout, lot, or design. With a custom build, you can:
- Align the design with real estate market trends
- Maximize space for housing needs and tenant comfort
- Control costs with smart material and system choices
- Create standout short-term rentals with a branded look
At Roots Builders, we specialize in working with investors to build homes that balance design, cost, and long-term performance in the Utah real estate space.
Build Smarter with Roots Builders
With rising mortgage rates, evolving interest rates, and surging housing demand, building your own investment property is one of the best ways to secure long-term returns in today’s real estate market.
Contact Roots Builders today to schedule your free consultation. Let’s design a high-performing rental property that’s tailored to today’s market—and tomorrow’s returns.
