The following analysis of the Salt Lake County real estate market is provided by Windermere Real Estate Principal Economist Jeff Tucker. We hope that this information may assist you with making better-informed real estate decisions.
ECONOMIC OVERVIEW
In the first quarter of 2026, the Salt Lake County market saw strong sales activity and the clearing of an inventory overhang. That continues a broader shift in Utah’s largest market, from conditions favoring buyers in early 2025 to a more balanced market—and in some segments, even a seller’s market—by spring 2026.
At the end of February, the spring housing market appeared poised for a rebound. Mortgage rates dipped below 6% for the first time in over three years, driven by a combination of narrowing mortgage-Treasury spreads, falling Treasury yields, reduced interest rate volatility, and the FHFA’s announcement that Fannie Mae and Freddie Mac would buy substantial amounts of mortgage-backed securities.
Source: Freddie Mac via FRED.
Then the market was thrown for a loop by the sudden onset of the war in Iran. The effects on the economy, interest rates, and the housing market are only just coming into focus, but so far, the signals are negative. Mortgage rates jumped by as much as half a point in the six weeks after the war began, and March saw the highest one-month increase in the gasoline consumer price index in decades.
Source: BLS via FRED.
As the energy shock ripples through the global economy, it is likely to slow economic growth while pushing prices higher. The magnitude of those effects will depend on how quickly the Strait of Hormuz reopens to tanker traffic, as well as how long it takes to restart oil production and other industrial activity across the Gulf states.
Against that backdrop, local housing market data for the first quarter of 2026 largely reflect conditions before the impacts of the war began to take hold. By the second quarter, we should have a clearer picture of those effects.
Active Listings
Active listings at the end of March stood at 1,361 homes, virtually identical to a year earlier. That completes a round trip from rapid inventory buildup last spring to slowing year-over-year growth last fall, suggesting that supply and demand have returned to a more balanced state in the Salt Lake market.
Median Sold Price
In March, the median sale price in Salt Lake County rose 2% year over year—from $600,000 to $610,000. That marked the eighth straight month of price gains but reflected a slowdown in the pace of price gains from late 2025.
New Listings
New listings dipped 6% year over year in March, but strong growth in January and February meant the flow of new listings still rose 7% in the first quarter compared to the year prior.
Closed Sales
Closed home sales in March 2026 rose 18% compared to March 2025, capping a strong first quarter with about 10% more closed sales in total than in the weak first quarter of 2025.
Days on Market
The average number of days it took to sell a home in Salt Lake County ended the first quarter at 56 days, up from 51 days a year earlier. This reflects the typical seasonal pattern of declining days on market in spring, but the year-over-year increase suggests the market has not yet shifted into a decisive seller’s market.
CONCLUSIONS
Salt Lake County’s strong start to the spring selling season was driven by growth in unit sales, not big price gains, suggesting a broad-based growth in activity as buyers return while having plenty of inventory to choose from. The lack of inventory growth year over year suggests Salt Lake County has completed its transition from a buyer’s market early in 2025 to more balanced conditions today.
The housing market is cyclical, with predictable seasonal swings in demand alongside less predictable longer-term shifts. At the end of the first quarter of 2026, many of the markets highlighted here are in a somewhat unusual balance, where the seasonally strongest period of demand—the spring selling season—is meeting a broader market cooldown marked by higher inventory, longer time on market, and slower price appreciation.
That combination makes for a more difficult market to navigate than usual. Buyers may feel whiplash, moving from being outbid by a dozen offers on one home to getting a below-list offer accepted on another down the street that just needs a fresh coat of paint. Sellers, meanwhile, may decide to list their home at an aggressive price after hearing about nearby homes selling far above list price, only to wonder why they’re not receiving any offers.
In a market like this, it pays to work with a skilled real estate professional who can cut through the noise of local data to determine a home’s fair price, while also understanding the nuances of which homes are selling quickly and which are selling at a discount in this unusual spring selling season.
Sources: TrendGraphix analysis of NWMLS, RMLS, Spokane MLS, Coeur d’Alene MLS, MetroList MLS, and Wasatch Front MLS data.
About Jeff Tucker
As Principal Economist for Windermere Real Estate, Jeff Tucker is responsible for analyzing and interpreting economic data and its impact on the real estate market on both a local and national level. Jeff has over 10 years of experience as an economist at companies such as Zillow, Amazon, and AirDNA.
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