Park City luxury real estate is booming

One of Salt Lake City’s most affluent neighborhoods, Park City, has suffered as less people were able to afford high end homes in the area. However, real estate in Salt Lake City is recovering and home sales in Park City are now at their highest since pre-recession times.

Park City is Salt Lake City’s premier resort destination, and now that home prices have stopped falling in the luxury market, experts are maintaining an upbeat vibe. Inventory in the area is at its lowest level since 2007, and median home prices have gone up from $412,500 in the second quarter of last year to $427,450 at the same time this year.

In the Wasatch Front area, homebuyers are receiving more than one offer on a home, and some are paying cash, a trend that hasn’t been popular in almost five years. Although multiple offers on a home are more popular in lower price ranges, this second trend has been seen across the board in all price ranges.

Buyers are more confident to purchase a home today than they have been in years. In Utah, the market this June had 9,577 less homes available than were present during the same month in 2009. In the past four consecutive months, home prices have been on the rise, which hasn’t happened since 2007. In all of Salt Lake County, the median price of homes and condominiums sold in July was $192,000, a 1 percent increase since the same time last year.

"We're definitely seeing a trend of fewer homes on the market, which is making home buying the most competitive it's been in six years," Deanna Devey, real estate expert told Deseret News. "The decreased inventory has been positive because the extra competition has stabilized home values and pushed up prices."

Like much of the rest of the country, the number of sales has increased because there are more bargain hunters and real estate investors purchasing properties. To boot, the mortgage rates are extremely low, making it an ideal time for someone to buy.

The Park City market is a unique one. Within the city limits, the median sales price is $1.1 million, and the available properties often serve as a second, third or fourth home to buyers. The vacation area is seeing an increase in people purchasing homes for seasonal or vacation use. Homes that are $400,000 or less are getting snatched up quickly due to limited supply.