What's Happening in the Market?

Park City's real estate market is quite unique. On the one hand, sold prices are up compared to a year ago; on the other hand, property owners are being forced to lower their list prices if they want to sell their properties. The number of sales in recent months has noticeably decreased as buyers are refusing to purchase overpriced listings.

Two Types of Sellers

Sellers of Park City properties fall into one of two categories. There are those whose life situation motivates them to sell, and then there are others who do not need to sell at all.

The first group has well-defined goals for selling their properties, and they want to get it done. They're looking for a fair price. These sellers price their properties after a thoughtful review of recent comparable sales. They generally list their properties at or slightly above recent sold prices, depending upon the amount of competition in the marketplace. Their homes sell relatively quickly.

The second group doesn't need to sell at all. They have no urgency or compelling factors motivating them to sell right now, and they generally don't care about market data. They usually have a figure in their minds as to how much they want to get for their properties, and what others have paid for comparable properties is of little importance to them. These folks often say, "If I can get the price I want, I'll sell my property; otherwise, I'll keep it," and they mean it.

WHERE'S THE SWEET SPOT?

The happy medium, or sweet spot, that we're seeing where buyers and sellers are coming together during negotiations is at a price that is slightly higher than the last comparable sale but not so high that buyers are refusing to buy.

Of course, every property is different, and price adjustments need to be made for those differences.

LEARN WHAT YOUR PROPERTY IS WORTH

Want to know what your property is worth in today's market? Contact us for a free Property Value Assessment and we'll help you find the sweet spot.

Home Sales & Prices

Park City Home Sales The total number of homes sold in the last 12 months was 548 compared to 519 the prior 12 months. Within the Park City city limits, number of sales of homes increased by 24 sales, or 15%, with 182 homes sold in the last year compared to 158 sales the year before. Homes sold in the Snyderville Basin experienced a 1% increase; from 361 to 366.

Park City Median Home Sale Prices The comparison of median sold prices shows us that home prices dropped 7% within Park City city limits and went up 2% in the Snyderville Basin. Median prices in town went from $2,100,000 to $1,950,000, and from $1,250,000 to $1,269,500 in the Snyderville Basin. That means there was an average drop of 2.5% in the area.

Condo Sales & Prices

Park City Condo Sales The total number of condos sold had a increase from 597 sales between February 2018 and January 2019 and between February 2019 and January 2020. Condominium sales within the city limits increased from 316 to 354, and in Snyderville Basin they went up from 281 to 417.

Park City Median Condo Sale Prices Median prices of condos had a decrease of $106,500 or 12% in town and an increase of 14% (about $78,984) in the Basin. That makes for an average 1% drop between Park City and the Snyderville Basin condominium median sold prices.

Land Sales & Prices

Park City Vacant Land Sales Vacant land sales in Park City city limits had a drop of 32%. The period of February 2018 to January 2019 saw 28 sales, while the more recent 12-month period saw 19. Lot sales also went down in Snyderville Basin, going from 139 to 104, which is -26% or 44 fewer sales.

Park City Median Vacant Land Sale Prices Overall, median lot prices showed an average increase of 12.5% -- a 25% increase in city limits, and no increase in the Snyderville Basin. This roughly translates to an increase of median lot price in Park City of $242,500 and and no change in Snyderville Basin.

Average Time on the Market of Closed Home Sales vs. Active Home Listings

When properties are priced correctly, based upon recent comparable sales, they sell in an average of 115 days. Meanwhile, the current inventory of properties for sale in Park City is staying on the market an average of almost 10 months without selling. So what’s going on?

The silver bar on this graph shows that homes that are selling are taking an average of 115 days to sell. The red bar shows the cumulative days on the market for listed homes that have not sold. The average number of days on the market without selling is 296. That is almost 10 months on the market without selling.

Many factors impact why one property sells over another. They include location, views, the age, and condition of a property, upgrades, and so forth, but the number one factor is price. After more than 30 years of selling real estate in Park City, I have learned that there is a buyer for every property, at a certain price.

If you’re thinking of selling your property, realize that selling a home is a hassle. You must keep your home clean and in "ready to show" condition at a moment's notice. Nobody wants to be inconvenienced for eight months or more, especially with no sale to show for all the effort. When you decide to list your property, choose a price that will result in a sale within a reasonable time.