Not much is changing in the Salt Lake Valley as we begin wrapping up the year. New listings trail 2019, and the trend is unlikely to change as the seasonal aspects of the housing cycle begin to take effect. Listings Under Contract held flat and Daily Inventory declined as demand continued to outpace supply. Lending is staying stable as rates hover around 2.75%.
This first graph shows the # of Active Listings and those Under Contract. This represents a version of Supply (Active Listings) and Demand (Listings Under Contract) for Salt Lake County. Historically, Supply has always been higher than Demand, but the lines crossed just before COVID-19 started ramping and then again after the restrictions began lifting, and this divergence is only getting wider. For Sellers this is great, other than concerns of increased contract cancellation rate. For Buyers, it means tight competition and rising home prices.
These two graphs represent the density of Active listings (left graph) and Ratio of Active to Under Contract Listings (right graph). South Jordan (84009) had the most Active Listings at the end of November, while Downtown SLC (84101) continues to have more Supply than Demand. This might be a useful graph when trying to understand what area might have less competition when looking to buy, or too much inventory when planning to sell, not that too much is really a thing right now.
These two graphs represent the Total # of New Listings for the Month (left graph) and the change in New Listings for that area compared to last year (right graph). Herriman (84096) again had the most New Listings for November, while Magna (84116) had the biggest increase in listings year over year. This might also be a useful graph when trying to understand what area might have less competition when looking to buy, or too much inventory when planning to sell.
This set of graphs that shows the total number of Listings by Week (left graph) for 2019 and 2020, and then the Cumulative Number of Listings (right graph). The gap in listings has slowly continued to decrease from our high in June of 10%, as we move from 6% in October to a 5% deficit in listings for the year at the end of November.
This graph shows the average Selling Price and the # of Days on Market for listings that sold in November. Midvale (84047) had the lowest DOM (44 days) and avg price of $368K and West Jordan (84084). Bluffdale, being a little more expensive at $491K, sat on the market 2.5x as long (124 days). Again, this points to selling and buying patterns for an area and is something to consider if you do not have a preference for where you live.
Months of Inventory eased some this month, as all 2 additional zip codes joined Downtown SLC with a surplus of inventory. Different sources give differing guidance, but the NAR states an average of 6 months means there is equilibrium of Buyers and Sellers in the market. Downtown Salt Lake City (84101) still has the highest Months of Inventory dropping to at 6 months, while West Jordan (84084 & 84081) and Taylorsville (84129) had the lowest at just under two weeks of inventory in each zip. If you are a Buyer and do not have a preference on location or if you do not like competing, again consider looking downtown. Now might be a great time to explore that area.
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- Zip codes do not reflect subdivisions, and any given subdivision could have completely different trend than the zip code it is in.
- All graphical information is collected from UtahRealestate.com.