Home sales down 41% in Utah; prices still up from one year ago

Nov 23, 2022, 5:27 PM | Updated: 7:42 pm

SANDY, Utah — Home sales in Utah fell nearly 41% in October compared to one year ago, according to the Utah Association of Realtors, while the median sales price increased 7% during the same period.

“Stubbornly high inflation and soaring borrowing costs have eroded buyer purchasing power and have caused the market to cool rapidly this year,” said the association’s monthly report.

The median home sales price in Utah was $492,000 in October compared to $460,000 a year ago. However, prices have fallen from the peak of $539,000 in May of this year.

“The US housing market is undergoing a major shift, and affordability continues to be an obstacle for buyers and sellers,” the report said. “Mortgage rates have doubled since March, and home prices remain elevated due to a limited supply of homes, although price gains are slowing at a quickening pace.”

Realtor Stephanie Grable with The Stern Team at Keller Williams said the market has shifted to a neutral market that’s merging into a buyers’ market.

“What we did during the pandemic, that wasn’t sustainable. That was an anomaly. That was not what’s normal,” she said.

Grable said buyers and sellers are once again bargaining over prices, concessions, and repairs.

“Prior to the pandemic, sellers and buyers actually negotiated with each other,” she explained. “We forgot what that was like for about two years.”

The number of homes available for sale in Utah jumped nearly 94% from this time last year to 12,237 active listings, according to the October real estate report.

Grable anticipates that more buyers will return if interest rates fall. Until then, she reminds that with double the homes on the market, buyers currently have more options and less competition.

“Right now the bidding wars don’t exist,” she said. “So you have the option to go get that house that you want and refinance that rate later.”

Homes are sitting on the market for an average of 46 days until an offer is accepted, the report said. That’s double the market days experienced last October.

“Many homeowners are waiting until market conditions improve to sell their home, while other sellers are increasingly cutting prices and offering concessions to attract a greater number of buyers,” the report said.

Homeowners who sold their home in October received 94.9% of their original list price (not accounting for concessions). One year ago, sellers were receiving 100.3% of their original list price.

KSL 5 TV Live

Top Stories

Local News

Shara Park

Memorial set up for woman killed in Provo hit and run

Yellow ribbons lined a Holladay neighborhood Friday in support of a family who lost a loved one in a hit and run crash in Provo.
22 hours ago
Michael Locklear

With so many kids sick, some Utah pharmacies run out of liquid Tylenol, ibuprofen

As parents deal with sick children, some are also facing another challenge. Some common medications can be hard to find, including liquid Tylenol and ibuprofen.
22 hours ago
Mike Anderson

Hardware WMA sleigh rides return after two-year hiatus

For the first time in two years, sleigh rides up the Blacksmith Fork Canyon are back — where families can see herds of elk and get a winter meal.
22 hours ago
Shop small to support local businesses...
Tamara Vaifanua

How shopping small this holiday season makes a big impact at local stores

There’s a big push this holiday season to shop small, as in small business. The locally owned, Tutoring Toy, right off Foothill Boulevard in Salt Lake City, has a lot to offer.
22 hours ago
FILE: Attorney General of Utah Sean Reyes arrives onstage to pre-record his address to the Republic...
Bridger Beal-Cvetko

Qatar paid for Utah AG Sean Reyes’ trip to see U.S. World Cup match

Utah Attorney General Sean Reyes spent the Thanksgiving weekend in Qatar, after the Middle Eastern country's government paid for his airfare, lodging and tickets to see the United States and England
22 hours ago
Orem school crossing...
Ladd Egan

Orem plans temporary traffic signal at intersection where student, crossing guard hit

Temporary traffic signals could soon be installed at the intersection where an elementary school student and a crossing guard were hit this week, according to the city engineer for Orem.
22 hours ago

Sponsored Articles

house with for rent sign posted...
Chase Harrington, president and COO of Entrata

Top 5 reasons you may want to consider apartment life over owning a home

There are many benefits of renting that can be overshadowed by the allure of buying a home. Here are five reasons why renting might be right for you.
Festive kitchen in Christmas decorations. Christmas dining room....
Lighting Design

6 Holiday Decor Trends to Try in 2022

We've rounded out the top 6 holiday decor trends for 2022 so you can be ahead of the game before you start shopping. 
Happy diverse college or university students are having fun on their graduation day...
BYU MBA at the Marriott School of Business

How to choose what MBA program is right for you: Take this quiz before you apply!

Wondering what MBA program is right for you? Take this quiz before you apply to see if it will help you meet your goals.
Diverse Group of Energetic Professionals Team Meeting in Modern Office: Brainstorming IT Programmer...
Les Olson

Don’t let a ransomware attack get you down | Protect your workplace today with cyber insurance

Business owners and operators should be on guard to protect their workplace. Cyber insurance can protect you from online attacks.
Hand turning a thermostat knob to increase savings by decreasing energy consumption. Composite imag...
Lighting Design

5 Lighting Tips to Save Energy and Money in Your Home

Advances in lighting technology make it easier to use smart features to cut costs. Read for tips to save energy by using different lighting strategies in your home.
Portrait of smiling practitioner with multi-ethnic senior people...
Summit Vista

How retirement communities help with healthy aging

There are many benefits that retirement communities contribute to healthy aging. Learn more about how it can enhance your life, or the life of your loved ones.
Home sales down 41% in Utah; prices still up from one year ago