I don’t know where springtime went, but alas July is upon us! Summer time in Park City is in full effect, albeit with some restrictions in place, a few less events, and a bit more social distancing. Town has been noticeably more busy, including a lot of out of state visitors and home shoppers, and the Park City housing market is following suit. After a major slow down a few months ago, the market has been continuing to pick up speed in terms of sales volume, units under contract, and buyer demand.
Despite an increase in new listings as of late, year to date for 2020 as compared to this time in 2019, the total amount of new listings is down about 15%. At the same time, the number of properties that are pending, is actually up about 2% year over year. This is leading to a low supply of available inventory that is compounded by increased buyer demand, low days on market, and multiple offer situations for some price and property segments. It is an excellent time to be a seller, but as a buyer, you may need to be a little more patient than usual to find the right property, and then quick to act with a strong offer when it becomes available.
It is worth noting that compared to national averages, Park City’s housing market numbers are markedly better:
- Nationally at the end of June, total available inventory was down by 29% compared to 2019. In Park City, total inventory was down by 12.3%, less than half of the decline seen nationally.
- National median list prices are growing by 5.6% compared to 2019, while Park City list prices are growing by 8.9%
- Nationally, the average days on market is 13 days more than at this time in 2019. Park City average days on market have actually decreased by 12 days compared to June 2019, as our market continues to heat up.
With the holiday weekend, we’re keeping this market update a bit more brief, and honing in on some specific segments. We’ll take a more in depth look at another portion of the market next month.
Park City Real Estate
Park City Single Family Homes
This month, I’d like to take a moment to focus on a specific portion of the Park City housing market: single family homes between $1.0 and $1.5 million. This price point represents a relatively accessible (for Park City) market segment that is common for full time local residents, as well as those looking to relocate to Park City full time. It includes sought after family neighborhoods like Silver Springs, Jeremy Ranch, Sun Peak, Prospector, Ranch Place and others, and allows buyers to acquire an established home with 4-5 bedrooms and 2500-4000 square feet of living space, common requirements for many families.
Recently, we have been working with multiple buyers to purchase homes matching this criteria, and it has been apparent that there are not a lot of options on the market. As I said earlier, the overall inventory in the Park City housing market has decreased year over year, however this segment of the market has been particularly hard hit. The number of currently active single family listings in the Park City area between $1.0-$1.5 million is down by 25% compared to this time last year. In addition, the average days on market before going under contract has been slashed nearly in half, dropping from 54 DOM in June 2019, to only 28 DOM in June 2020.
While some understandable uncertainty in the socio-economic climate due to Covid and other factors are leading some homeowners to hold off on selling, for others it could be great opportunity. High buyer demand, low inventory, and rising prices bode well for a quick sale at favorable terms for the seller. At the same time, buyers must have their ducks in a row and be prepared to move efficiently and make strong offers, especially with new listings that are priced competitively.
We’re keeping things relatively brief this month (#dataoverload), but please take a minute to review the overall single family home and condo/townhome statistics for the last month.
Park City Condos and Townhomes
As always, if you have any specific questions on these statistics, or other segments of the market, please call, text, or email me, and we can talk about your specific criteria. Every clients’ needs and every transaction is unique, and so specificity is key when evaluating your own real estate purchase or sale.