The Utah housing market in January 2025 presents a complex landscape characterized by varying trends across different metrics. The Median Sales Price for homes in Utah has increased by 2.0% year-over-year, reaching $566,800. This indicates a modest appreciation in home values, suggesting a stable demand for housing despite broader market fluctuations.

Conversely, the Median List Price has experienced a significant decline of 11.2% year-over-year, now standing at $605,900. This reduction in list prices may reflect sellers' adjustments to align with market conditions, potentially driven by increased inventory and longer market times.

The median Price Per Square Foot has risen by 6.1% year-over-year to $269, indicating that buyers are willing to pay more per unit area, which could be attributed to the desirability of specific locations or property types. Meanwhile, the Median List Price per square foot has seen a smaller increase of 2.6%, reaching $284, suggesting a more cautious approach by sellers in pricing their properties.

In terms of sales activity, the number of Homes Sold has decreased by 9.4% year-over-year, with 2,063 transactions completed. Pending Sales have also declined by 8.0%, totaling 3,310. These decreases may be influenced by the increased inventory, which has grown by 13.2% to 9,522 homes, and the rise in New Listings by 13.6%, reaching 3,953. The increased supply has contributed to a substantial 90.0% year-over-year rise in Months of Supply, now at 4.6 months, indicating a shift towards a more balanced market.

The Median Days on Market have increased slightly by 2.0% to 61 days, suggesting that homes are taking longer to sell. This is further supported by the average sale to list ratio, which has seen a marginal increase of 0.2% to 98.6%, and the sold above list ratio, which has risen by 1.4% to 19.5%. These figures imply that while some homes are still selling above list price, the overall market is experiencing a slowdown in sales velocity.

Price Drops have become more prevalent, with a 3.5% increase year-over-year, now affecting 27.9% of listings. This trend indicates that sellers are more frequently adjusting their expectations to attract buyers. Additionally, the percentage of homes going off the market in two weeks has increased by 1.0% to 26.2%, suggesting that competitively priced homes are still moving quickly.

Overall, the Utah housing market in January 2025 reflects a period of adjustment, with sellers recalibrating their pricing strategies in response to increased inventory and longer market times. While home values continue to appreciate modestly, the decline in list prices and sales activity points to a more cautious market environment. Buyers and sellers alike should remain attentive to these evolving dynamics as they navigate the real estate landscape in Utah.