The following analysis of selected neighborhoods in the Park City real estate market is provided by Matthew Gardner, chief economist at Windermere Real Estate. We hope this information can help you make more informed real estate decisions. For more information about the housing market in your area, please contact your Windermere real estate agent.
Regional economic overview
The summer months saw continued growth in Utah’s job market, which had already restored all the jobs lost to COVID-19 earlier this spring. The latest available data (August 2021) shows that employment in the non-farm sector is 48,100 jobs above the pre-pandemic peak. With healthy job growth, the unemployment rate currently stands at 2.6%, a level not seen since the pandemic hit. As impressive as the current unemployment rate is, it’s also worth noting that unemployment continued to fall even as the workforce expanded to a point never seen before in the state. Utah’s economy is in great shape right now, and barring unforeseen events, I see no reason why anything should derail the impressive growth the area has experienced.
park city, utah
❱ 73 homes were sold in the third quarter of 2021, which is 47.9% lower than in the same quarter a year ago and 3.9% lower than in the second quarter of this year.
❱ Year-over-year sales increased in Summit Park and Trailside Area/Silver Springs, but were lower in the neighborhood balance in this report. Compared to the second quarter of 2021, sales were higher in six neighborhoods, static in one and declining in the remaining eight.
❱ Lower home sales are primarily a function of the number of homes for sale. With 48% fewer homes on the market than a year ago and 3.9% fewer homes than in the second quarter of this year, it is not surprising that sales declined.
❱ Home sales in anticipation of the year were down 58.7% compared to last year and were 2.6% lower than in the second quarter of the year. This, combined with significant supply constraints, suggests home sales may not be strong in the final quarter of the year.
park city, utah Home Prices
❱ Average home prices in the Park City neighborhoods in this report rose 29.7% year-over-year to $2.26 million, but were down 3.6% from the previous quarter.
❱ The Wanship, Hoytsville, Coalville and Rockport market is the only one where prices were below $1 million in the third quarter. The most expensive home sales were again in the Canyons/The Colony market, where the average price was $11.83 million.
❱ Prices rose in all neighborhoods except Park Meadows, although the fall was marginal.
❱ Compared to the second quarter of the year, prices rose in all but four neighborhoods: Old Town, Park Meadows, Midway and Wanship, Hoytsville, Coalville and Rockport.
Days at the market
❱ The average time to sell for a home in the Park City area is down 41 days from the same period a year ago.
❱ While the number of days on the market has generally declined year over year, the time it took to sell a home increased by four days everywhere except Canyons/The Colony and Old Town, if you include the third quarter compare the second quarter.
❱ In the third quarter, it took an average of 41 days to sell a home, with homes selling fastest in the Canyons/The Colony neighborhood and slowest in Upper Deer Valley Resort and Empire Pass.
❱ In small, expensive markets, such as Park City, it’s not surprising that the rate at which homes are sold fluctuates wildly from one quarter to the next. There is clearly still demand from buyers, but given the high average prices, homes are taking a little longer to sell.
This speedometer displays the state of the real estate market in the region using housing stock, price increases, home sales, interest rates and larger economic factors.
Utah’s economy is on very solid ground, which, when placed next to historically low mortgage rates, is driving more home purchases. While the number of days it takes to sell a home has risen modestly from the second quarter, home sellers still have the upper hand. As such, I moved the needle a little more in their favor.
About Matthew Gardner
As chief economist for Windermere Real Estate, Matthew Gardner is responsible for analyzing and interpreting economic data and its impact on the real estate market at both the local and national levels. Matthew has over 30 years of professional experience in both the US and UK
In addition to his day-to-day responsibilities, Matthew sits on the Washington State Governors Council of Economic Advisors; chairs the Board of Trustees of the Washington Center for Real Estate Research at the University of Washington; and serves on the Advisory Board at the Runstad Center for Real Estate Studies at the University of Washington, where he also teaches real estate economics.