Utah Buyers Get The Upper Hand

Utah Market Data

Market Overview - January 2026

SINGLE FAMILY PROPERTY

Single Family Summary - Inventory Grows While Prices Hold Firm

New listings increased modestly to start the year. January saw 4,433 new listings, up 3.6% from January 2025. This shows more sellers are entering the market, adding fresh supply after a tight few years.

Closed sales dipped slightly. January recorded 2,097 closed sales, down 3.3% year over year. This suggests buyer activity is a bit slower, likely due to higher interest rates and more cautious buyers.

Median sales price continued to move higher despite slower sales. The median price rose to $510,000, up 2.0% from last January. This tells us prices are still holding firm, even as inventory grows and homes take longer to sell.

Bottom line: More homes are coming on the market, fewer are closing right away, but prices are still rising. The single-family market is shifting toward better balance, not a downturn.

MULIT-UNIT PROPERTY (2+ UNITS)

Multi-Unit Summary - Quieter Market, Stronger Deals for Multi-Unit Properties

New listings pulled back to start the year. January recorded 74 new multi-unit listings, down 9.8% from January 2025. This suggests fewer sellers are testing the market right now, likely due to rate uncertainty and tougher deal math.

Closed sales also slowed. There were 36 closed multi-unit sales, a 14.3% drop year over year. Even though fewer deals are closing, this is partly due to the small size of the market—just a handful of transactions can swing the numbers.

Median sales price jumped sharply. The median price rose to $728,062, up 26.0% from last January. This large increase points to higher-quality or larger properties trading, rather than broad price inflation across all deals.

Bottom line: The multi-unit market is quieter in terms of listings and sales, but pricing remains strong. Fewer deals are closing, yet the properties that do sell are commanding much higher prices, showing that serious investors are still active—just more selective.

Featured Listings

Canovo Group may not be the listing brokerage for the above properties. The information provided is not guaranteed and should not be relied upon to make investment decisions. Buyers should complete their own analysis and due diligence before making any investment.

Mortgage Rates & Financing

Mortgage Rates (as of Feb 4, 2026)
Mortgage rates ticked slightly higher this week, with the 30-year fixed now around 6.20% after small day-over-day and week-over-week increases. Even with this short-term bump, rates are still meaningfully lower than a year ago—down roughly 0.6% to 0.9% year over year across most loan types. The trend over the past month remains mostly flat to slightly down, showing that rates are moving sideways, not breaking out.

10-Year Treasury Yield (as of Feb 4, 2026)
Meanwhile, the 10-year Treasury is hovering around 4.29%, drifting higher over the last few days. This explains the recent upward pressure on mortgage rates. Bottom line: rates are choppy in the short term, but the bigger picture still points to stabilization rather than a return to last year’s highs.

Source: Mortgage News Daily/Market Watch

Headlines & Insights

FEATURED ARTICLE

Rents Cool Nationwide—Utah Feels the Pressure

U.S. rents continued to slide in January, marking the sixth straight month of declines as elevated supply and slower demand reshape the rental market. The data shows a clear divide: while a handful of Midwest and East Coast metros are still growing, much of the Sun Belt and Mountain West—including Salt Lake City—are experiencing year-over-year rent declines and rising vacancies.

Key Takeaways

• The national median rent fell 0.2% month-over-month and is now down 1.4% year-over-year, sitting at $1,353.

• Vacancy rates are rising, with Salt Lake City’s multifamily vacancy climbing to ~10.3%, well above pre-pandemic levels.

• Metro-level data places Salt Lake City among the slower rent-growth markets, down roughly 2–3% year-over-year, though not as severe as Austin, Denver, or Phoenix.

What This Means for Utah Investors
The charts confirm that Utah is in a normalization phase after an aggressive post-2020 run-up, not a structural downturn. Salt Lake City rents remain well above pre-pandemic levels, but higher vacancies and negative rent growth mean less pricing power and longer lease-up times in the short term. For Utah investors, this is a market that rewards disciplined underwriting, realistic rent assumptions, and strong operations, with opportunities emerging for buyers who can acquire quality assets while sentiment is soft and supply is still being absorbed.

Utah Headlines

Salt Lake County Property Tax Hike Approved – Salt Lake County approved a 2026 budget that includes a property tax increase of about 14.65%. For the average homeowner, this equals less than $6 per month and only affects the county’s portion of the tax bill. Officials say the increase is needed to cover rising costs and maintain essential services.

Utah Ranks #1 for Neighborly Cities – Redfin ranked Salt Lake City as the most neighborly city in the U.S. for 2026. The city stood out for high volunteerism, strong community involvement, and relatively affordable home prices. Portland and Kansas City followed close behind, showing that connection and affordability often go hand in hand.

St. George Corridor Controversy Returns – The Bureau of Land Management has re-approved the Northern Corridor highway near St. George, reigniting debate in southern Utah. Supporters say the road would reduce traffic, accidents, and travel times across the city. Opponents argue it would damage desert land, wildlife habitat, and recreation areas that define the region.

Provo Sets Housing at Top of 2026 Priorities – Marsha Judkins outlined Provo’s goals for 2026, with a strong focus on housing affordability, economic growth, and public safety. City leaders plan to remove barriers to housing, support owner-occupied homes, and encourage smart development. Collaboration, community connection, and respectful governance were key themes throughout the address.

National Headlines

More Multifamily Loans Stress – Three apartment properties moved into loan servicing in January, including two in Colorado and one in Houston. In several cases, higher expenses, ownership issues, or preferred equity clauses—not poor occupancy—triggered the distress. The trend shows how even stable properties can face trouble in today’s high-cost, high-rate environment.

High Mortgage Rates More Common – About 20% of U.S. homeowners now have mortgage rates above 6%, a sharp jump from just a few years ago. That shift is fueling a refinance rebound, with activity up sharply as rates dip. Still, small rate drops offer limited monthly savings, so affordability challenges remain.

Buyers Finally Have the Upper Hand – Homebuyers in 2025 scored the biggest discounts in over a decade, signaling a clear shift away from the pandemic-era frenzy. Nearly two-thirds of buyers paid less than the list price, and those who did saw an average discount of 7.9%, the largest since 2012.

Trump’s New Pick Signals Fed Shift – Kevin Warsh is President Donald Trump’s pick to lead the Federal Reserve. Warsh is a Fed veteran who is skeptical of aggressive stimulus and large bond-buying programs. While he supports Fed independence, his appointment could signal a tougher stance on inflation and a shift in monetary policy direction.

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David Robinson - Principal Broker | Investor