Median home prices in Utah rose 2.7 percent to $178,150 in April due to tightened supplies, marking the first annual gain since 2008.
The average sales price on homes also increased by 5.2 percent to $237,029 from $225,234 last year. April marks the second consecutive month of price increases.
“As inventory headed down during the first part of the year, buyers began competing with each other for properties,” Lori Chapman, president of the Utah Association of Realtors, said in a statement. “That competition for tighter supplies led to higher prices in April.
Supplies of new homes thinned over the past year, dropping about 24 percent. Utah had 20,119 properties for sale at the end of April, which represents a 6.9-month supply of inventory.
“A market balanced between buyers and sellers is typically in the six- to seven-month range,” Chapman said in the statement.
Some areas have seen larger price jumps because of tighter supplies.
Uintah County saw a nearly 39 percent increase in prices to $182,000 in April compared to $131,250 last year. The county’s supply was at 4.4 months, which is 2.5 months less than the state.
Salt Lake County experienced a 3.7 percent increase in prices because of its five-month supply of inventory.
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