Some good news today for the Utah real estate market as the Utah Association of Realtors announced home sales rose 16.4 percent in July compared to the same month last year. That is the biggest increase in sales since May of 2010.
During the month, Utah Realtors sold 2,686 homes up from 2,307 sold in July 2010.
“The rise in home sales is positive for Utah because these gains will help push inventory lower, which will ultimately stabilize home prices,” said Kenny Parcell, 2011 president of the Utah Association of Realtors.
The number of contracts signed to buy homes was also higher in July, up about 22 percent compared to last year, which signals sales will likely increase next month as well. In fact, year-to-date pending sales are outpacing the first seven months of last year by nearly four percent. This is the third straight month of double-digit gains in pending sales.
Other good news from the report was the fact that inventory dropped significantly in July. The number of homes for sale at the end of July was 25,240, down 17.5 percent from last year when 30,607 properties were on the market. Combined with the pick-up in sales, it would now take 9.9 months to sell the entire supply of homes at the current sales pace. This is the lowest statewide reading for month’s supply since March 2008.