Home Sales Are Down? Not in Salt Lake City!

As the fall progresses, the U.S. housing market is continuing its seasonal slowdown. According to data from 53 metro areas in the latest RE/MAX National Housing Report, October home sales were down 4.6% from the month prior, and down 8.7% compared to the same time last year. Places like Dover, Delaware, and New Orleans, Louisiana, saw even more dramatic declines in sales.

But out west, an outlier is trending in an entirely different direction.

Salt Lake City, Utah’s capital, showed a significant uptick in home sales in October 2023 compared to October 2022. Home sales there have increased 13.4% this year.

New construction developments

One reason for the big gain: The Salt Lake City metro area continues to spread out.

“There is a continual flow of new construction popping up right now, filling the land around Salt Lake City with neighborhoods, homes, walking trails, and beautiful communities,” shares Esther Clarke, an agent with RE/MAX Associates in Salt Lake City, who has been helping homebuyers and sellers with their real estate needs for nearly a decade. “Our lower taxes, safe communities, and phenomenal job growth numbers combine with our [nostalgic] atmosphere to make it an ideal place for so many homebuyers.”

Clarke cites an increase in essential infrastructure as a helpful way the area has been able to support the new and fast growth.

“Because of the added infrastructure, new and expanded highways, and fresh community centers, our neighborhoods have been able to blossom. Places that used to be an hour drive away now seem half as far,” she says.

And those new communities are paving the way for continued economic growth through grocery stores, small businesses, and restaurants, which add to the quality of life residents of Utah love. 

“You don’t need to leave your neighborhood for your essentials anymore because we’ve expanded and grown so strategically over the last 10 years. Many buyers love that they can live in farming communities and still only be 30 minutes from the Salt Lake City Airport,” Clarke adds. “Cities like Tooele, Eagle Mountain, and Clinton that used to be ‘too far out’ aren’t out of the question anymore.” 

A relaxed lifestyle

Close access to outdoor recreation has long been a main draw of Salt Lake City. Hiking, rock climbing, and skiing (at renowned ski resorts like Park City, Deer Valley, Alta, and more) are a short drive away. And a slightly farther drive will land you in Utah’s high desert landscape, with popular spots like Zion National Park, Bryce Canyon National Park, and Arches National Park, the town of Moab, among others.

“The fact that Utah has some form of incredible outdoor recreation within 30 minutes, regardless of where you are, is a huge consideration for remote workers looking for a better work/life balance.” Clarke explains.

Lifestyle trends like the reprioritization of community needs – and desire for adventure – caused by the COVID-19 pandemic still remain in full-swing for many, too.

Plus, she adds, new people moving to the metro area are helping bolster the local culture.

“Our local neighborhoods are enhanced by people bringing different experiences to the table. I think every new mind with their own story makes our community better,” Clarke shares.

Current market activity to consider

“The time a home remains on the market here very much depends on the type of home, how well it’s been maintained, and how it’s being marketed,” Clarke shares. “Homes that are well prepped for the market and priced correctly still sell quickly, just without the intense competition we have seen in past years.”

Currently, high interest rates – especially in comparison to the low rates seen from 2020-2022 – continue to be at the center of conversation for today’s homebuyers. But Clarke doesn’t see this factor having a sizable impact on market activity long-term.

“I think as the interest rate starts to level out or dip a bit, and as people start to get the idea that this is the new interest rate scenario, they won’t be fixated on that aspect of the homebuying process,” she says. “It’s like RE/MAX President and CEO Nick Bailey always says: Each year, no matter what, we know that people will still buy and sell homes.”

Clarke adds, “Our state has taken some time to react to the new interest rates, and now we are seeing buyers come back to the market to find the homes they want and need to support their lives and futures.”

She expects local market activity to remain bustling in the coming months.

“I would imagine we have a significant backlog of buyers who have been waiting on the sidelines. We likely won’t see much of a slowdown this winter, as those who have been holding off will be excited to enter what could be a less competitive market,” Clarke says.

Get RE/MAX News delivered to your inbox! Sign up for News Alerts in the footer below.