Ogden-Clearfield home prices are growing at one of the fastest rates in the country. That’s according to a new report that says Ogden-Clearfield’s home price growth ranks No. 6 out of 262 U.S. metro areas.

According to the study, Ogden-Clearfield home values increased nearly 22% in a year and about 68% over the past five years. The data come from the second quarter All-Transactions House Price Index from the Federal Housing Finance Agency, which tracks housing data from purchase and refinance transactions.

Like Ogden, other Utah cities have also seen phenomenal growth in real estate prices over the past few years. In fact, all five Utah metro areas were on the top 20 list:

• No. 4 — St. George: 23.6% one-year growth, 64.8% five-year growth.
• No. 9 — Provo-Orem: 21.3% one-year growth, 62.5% five-year growth.
• No. 11 — Logan: 20.5% one-year growth, 63.4% five-year growth.
• No. 13 — Salt Lake City: 19.7% one-year growth, 63.5% five-year growth.

Meanwhile, Utah ranked No. 2 on FHFA’s Purchase-Only Index. With home prices rising more than 28% in a year, Utah was second only to Idaho, where values rose 37%. This index tracks how the price of a home changes over time based on repeat transactions.

Also in the top five states were No. 3 Arizona (up 23.9%), No. 4 Montana (up 23.7%) and No. 5 Rhode Island (up 23.7%).

“The Mountain Division once again had the strongest annual growth among all census divisions, posting a 22.9% year-over-year house price gain,” said Dr. Lynn Fisher, deputy director of FHFA’s Division of Research and Statistics, in a video about the report. “The region has led in annual appreciation for 15 consecutive quarters as in-migration from the West Coast has continued.”

Over time, the investment in Utah real estate has paid off. Over the past five years, Utah home prices have increased nearly 81%, according to FHFA. Since 1991, they’ve increased about 498%.

In fact, numerous studies point to homeownership as a key to wealth creation. A separate report from the National Association of Realtors examined homeownership wealth gains over various time frames.

In Salt Lake City — the only Utah metro studied — the report lists the following housing wealth gains on a typical single-family existing home as of second quarter 2021:

• Purchased five years ago: $233,663 in housing wealth.
• Purchased 10 years ago: $329,906 in housing wealth.
• Purchased 30 years ago: $478,989 in housing wealth.

In fact, over the past five years, Salt Lake area home prices have increased 11.9% annually.

Over 30 years, the researchers said Salt Lake the median home value has increased by $410,300. After making $68,689 in principal payments, the typical homeowner with a median-priced home could expect $478,989 in housing wealth.

In fact, according to the 2019 Survey of Consumer Finances of the Federal Reserve Board, the value of a primary residence typically accounts for about 10 times the median value of any other financial asset that a family may have.

“Homeownership is a key pathway to building wealth and narrowing the racial income and wealth inequality gap,” wrote Scholastica Gay Cororaton, NAR research economist, in a blog post about the research. “Housing wealth (equity) accumulation takes time, and is built up by price appreciation and paying off the mortgage.”

To learn more about the wealth benefits associated with homeownership and to get more information about current market conditions, contact a local Realtor. Find a directory of Northern Wasatch Realtors at NWAOR.com.

Shauna Ray is president of the Northern Wasatch Association of Realtors.

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