INCREASED AFFORDABILITY: Mortgage rates currently holding steady at a 3 year low

Highlights:
1) Increased affordability. 30 year fixed currently holding steady at a 3 year low
2) Local housing inventory peaked for 2025 in early November, continues to decline, and is now 30% below November levels. Trend line acting like it is at it's bottom 

This is such a unique market. The market is active, but behaviors and perceptions haven't changed. The comical way of describing this is that sellers think it is 2021, buyers think it is 2008, and the skilled Realtor's job is to close that gap.

Local housing inventory peaked for 2025 in early November, continues to decline, and is now 30% below November levels. High annual water mark for inventory is typically in early November with a trough when the flowers come out in the Spring. Trend line is acting like it is at the bottom and about to start increasing. Last year, the increase half of the year also started early. 

There is so much pent up demand (and supply). Many savvy people accomplishing goals that they may have put off for a long time. I would argue that there is A LOT of pent up demand in the market from the past several years. A huge amount of people that want to make a move but feel like they can't afford it and/or they feel handcuffed by their current advantageous interest rate. A lot of very smart people think that 30 year fixed below 6% is where A LOT of pent up demand (and the supply that comes with it) will come into the market. I tend to agree. 

Across the board for the Wasatch Front counties, inventory/supply ranges from three months and five months. By that measure alone it is a balanced sellers market. Some homes go gangbusters multiple offers (some neighborhood and price brackets have been super competitive with multiple offer situations being common) while others sit on market. In the current inventory we are seeing some price reductions. In Salt Lake County, 29.8% of the current inventory reduced offering price in the last 30 days. Slight decline from recent months. Close to half (38.4%) of the homes currently on the market in Salt Lake County reduced price at least once. Slight decline from recent months. 

Excellent recent news recently in the current mortgage environment with declining rates. 30 year mortgages are now at 6.11% (Freddie Mac, numbers from last Thursday). This means that the most qualified borrowers can get rates in the 5's. These numbers are posted every Thursday. 

If you are having thoughts of moving, it might benefit you to have a casual conversation about what is possible in this market. Pro tip, selling and buying at the same time without moving twice IS POSSIBLE in the current market. Schedule a strategy session HERE