The Wasatch Front and Utah's Dixie are not the only areas of Utah coping with the housing downturn: The Independent Republic of Park City is also feeling the strain.
The volume of single-family homes sold in greater Park City fell 46 percent from the first quarter of 2007 to the first quarter of this year, according to data from the Park City Board of Realtors. Condominium sales also dropped, by 45 percent.
With some of the most exclusive real estate in Utah, the prices of homes sold in the greater Park City area remained virtually flat from the first quarter of last year to the same period this year. The median sales price in Summit and Wasatch counties in the first quarter of 2008 was $649,140, compared with $650,000 during the first three months of 2007.
Within the city limits of Park City, the median home price for the quarter decreased 11 percent, from $1.98 million in 2007 to $1.76 million in 2008.
Nearby, the median single-family home price in the Snyderville Basin was down 4 percent, from $771,000 in the first quarter of 2007 to $742,450 in the same period this year. In the Kamas Valley, the median home price dropped 9 percent to $285,000, from $314,450 a year ago, while the median price for homes sold in the Heber Valley increased 9 percent to $359,900, compared with $329,000 a year ago.
The Park City Board of Realtors also reported that sales of single-family homes in the Heber Valley were down 44 percent in this year's first quarter and 65 percent in the Kamas Valley during the same period.
But median prices for Park City condominiums rose by 13 percent to $1.05 million, compared with $925,000 in the first quarter of 2007, the board said.
Tyler Richardson, the board's president, said the rise was due mostly to closings of newly constructed high-end condos with ski-in/ski-out access.
Meanwhile, the volume of condominium sales in the greater Park City area fell 45 percent, from 247 in first quarter 2007 to 136 in the first quarter 2008. The median condo sales price in the first quarter was $533,900, down from $550,000 in the same period last year.
Fewer sales mean sellers need to be flexible in pricing their properties, Richardson said, and if a home is "priced correctly, it will sell."
Sellers can no longer expect to get the same prices they might have been able to ask for just one year ago, he said."We have seen price adjustments going on in the market, and sellers need to be realistic in their pricing," he said. "It is taking a little longer to sell homes, but the market is offering buyers more choices to go out and find that home that they want."