Utah home sales rose nearly four percent in June, according to the new data. This is the first increase since February. During the month, Utah Realtors sold about one hundred more homes than last year.
And sales are expected to keep rising. Pending sales, which predict future activity, were up forty‐one percent in June. Pending sales reflect properties that have not yet closed but have contracts accepted.
Pending sales were also up for the first half of the year, rising two percent compared to 2010. Economists have forecasted that home sales will be higher this year versus last, and pending sales for the first half of the year support this conclusion.
Housing remained affordable in June. The Affordability Index was up nearly twelve percent. Utahns making the median income had one‐hundred‐fifty‐six percent of that needed to qualify for a loan for a median‐priced home.
A drop in prices also assisted affordability. In June, the median price fell twelve percent to one‐hundred‐ seventy‐six thousand dollars.
Inventory also declined. The number of Utah properties available dropped nearly sixteen percent. At the end of June, there were more than twenty‐five thousand homes for sale, compared to about thirty thousand last year. This is the fewest number of properties for sale since mid‐2007.
Inventory is also being absorbed at a faster rate. In June, it would have taken about ten months to sell the entire inventory at the current pace. That’s down from about eleven months.
On a local level, counties that saw sales increases were Sanpete, Summit, Uintah, Utah, Wasatch, Washington and Wayne.
On a property level, low‐end homes were the best sellers. Over the past twelve months, homes priced below one‐hundred‐fifty thousand increased nearly fourteen percent. Realtors sold more than ten thousand homes in this price range, by far the highest number of any category.