Q1 Market Report - Summit Sotheby's International Realty by Summit Sotheby's International Realty

QUARTER ONE MARKET REPORT 2021

TABLE OF C ONTENT S 2021 Q1 MARKET REPORT

OVERVIEW

MAP

ALL AVAIL ABLE INVENTORY

PROPERTIES SOLD

TOTAL SOLD VOLUME

AVER AGE DAYS ON MARKE T

MONTHS SUPPLY OF INVENTORY

MARKET REPORT QUARTER ONE 2021

Welcome to Summit Sotheby’s International Realty’s Quarter 1 Market Report. This report will take a look at Utah’s current real estate market conditions for the Wasatch Front, Wasatch Back and Southern Utah areas. US Market Conditions. Forecasts for the 2021 US GDP (gross domestic product) are ramping up. Economists agree and estimates are now at 5.7%. This number is up from 4.9% in February, 4.2% in January and 4.0 in December, respectively. All signs point toward these estimates rising further, reaching closer to the Fed’s 6.5% GDP growth forecast. How the US Housing Market Fits In. The residential housing market is a sizable chunk of the US GDP. Roughly 5% of the GDP is made up by our housing market. Coast to coast, the available inventory of homes listed has dropped by 51% over the past year. The lack of inventory is not due to homeowners choosing not to sell or taking their homes of f of the market. Surging buyer demand is to blame, with available inventory being purchased quickly by a growing swell of qualified purchasers. Simply put, demand is outpacing supply. The number of new homes sold in the US jumped to 1,021,000 in March of 2021. This is a 66.8% increase from March of 2020, where 612,000 homes sold. Nationally, the median price of homes sold in March of 2021 was $330,800, with the average sale hitting $397,800. Utah in the News. Utah continues to make headlines not just for our state’s robust economy but for exponential population growth and a hot housing market. Metrics such as months of inventory, sales volume and average home prices continue to break records. This theme isn’t isolated to one region or city, with state-wide real estate demand holding steady, making for a highly competitive market for buyers and a highly lucrative market for sellers.

THE ARE AS AREAS INCLUDED IN OUR Q1 MARKET REPORT

FARMINGTON

S A LT L A K E CI T Y

PA R K CI T Y

H EB ER CI T Y PR OVO

WASATCH BACK C EDA R CI T Y

CO U N T I E S : SU M M I T A N D WA S ATC H

WASATCH FRONT

CO U N T I E S : DAV I S , S A LT L A K E A N D U TA H

S PR I N G DA L E , ZION

S T. G EO R G E

SOUTHERN UTAH

CO U N T I E S : WA S H I N G TO N A N D I R O N

ALL AVAIL ABLE INVENTORY UTAH - DECEMBER 2018 - MARCH 2021

All Available Inventory Utah - December 2018 to March 2021 2018

2019

13,513

1,484

1,559

1,609

1,717

1,749

1,702

1,594

2,110

2,117

2,216

2,112

1,877

2,093

Jul

Aug

Sep

Oct

Nov

Dec

Jan

7,806

8,313

9,917

2,077

Jun

11,141

11,700

2,071

May

11,239

11,698

2,173

Apr

11,019 2,230

Mar

10,562 2,267

Feb

9,743 2,156

Jan

10,067

Dec

9,906

2,086

11,687

11,396

1,840

11,675

1,508

11,698

1,497

13,537

14,965 14,916

1,638

1,598

1,655

13,808 13,344

1,623

14,452

14,843

1,630

15,478 15,471 15,526 15,514

All Available Inventory is the total "# For Sale" that month. This includes any property that was on the market at any point during the month, as listed and sold within the same month. Data is aggregated from three different MLS databases (PCBAOR, WFMLS, WCMLS) and was pulled on M properties sold by Summit Sotheby's. "Wasatch Back' includes all listings from Summit and Wasatch Counties. 'Southern Utah' includes Washingt

summitsothebysrealty.com

DEFINING ALL AVAIL ABLE INVENTORY This metric gives us a glance of the total amount of properties for sale in Utah by month, from 2018 to present. Broken down by area, we see a steady decline in inventory, with a slight seasonal increase in March of 2021. Current inventory is at 50.4% of the inventory from March 2020.

2020

2021

# For Sale - Wasatch Back

# For Sale - Wasatch Front

# For Sale - Southern Utah

12,289 11,604 10,401 9,596

1,220

1,386

1,596

1,668

1,663

13,042

1,431

10,977

1,482

12,380

1,395

12,866

1,528

13,497

802 4,785

810

2,181

2,161

2,014

1,841

1,610

1,418

1,320

1,109

992

948

960

909

3,969

916

2,179

4,326

5,739

2,189

5,446

6,496 5,908

4,044

1,043

998

6,361

7,056

7,597

8,398

8,780

9,365

9,808

9,290

8,719

7,357

7,553

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

Feb

Mar

s opposed to just the number of "For Sale at the End of the Month" which would be lower. This chart would capture any property that was March 10th, 2021. Properties Sold includes any property listed as sold that month in the respective MLS, and is not restricted to only ton and Iron Counties. 'Wasatch Front' includes Davis, Salt Lake, and Utah Counties. Prepared By Summit Sotheby's International Realty.

Q1 MARKET REPORT | Page 7

PROPERTIES SOLD UTAH - DECEMBER 2018 - MARCH 2021

Properties Sold Utah - December 2018 to March 2021 2018

2019

# Sold - Wasatch Back

# Sold - Wasatch Front

# Sold - Southern Utah 4,283

4,194

207

3,911

196

4,232 220

147

3,625

3,579

172

216

3,698 216

3,174

3,025

191

143

2,824

3,282 198

118

2,422

2,405 2,170

130

3,513

116

3,295

2,956

3,495

161

3,487 2,938

3,047 2,558

2,485

2,357 1,733

2,653

1,915

1,965

349

321

310

397

Dec

Jan

Feb

Mar

497

563

469

503

525

Apr

May

Jun

Jul

Aug

425

435

425

431

346

Sep

Oct

Nov

Dec

Jan

Data is aggregated from three different MLS databases (PCBAOR, WFMLS, WCMLS) and was pulled on March 10th, 2021. Properties Sold includ Back' includes all listings from Summit and Wasatch Counties. 'Southern Utah' includes Washington and Iron Counties. 'Wasatch Front' includes

summitsothebysrealty.com

DEFINING PROPERTIES SOLD This metric calculates the number of properties sold, by month, broken down by our three key regions: Wasatch Front, Wasatch Back and Southern Utah. Spiking in July of 2020 with 5,111 properties sold, this chart shows the cyclical nature of Utah’s real estate seasons and the above average sales that marked the end of 2020 .

2020

2021

5,111 291

4,553 183

4,704

4,710

333

390

4,616 405

3,899 312

3,471

3,836 382

3,262

3,319 241

137

2,910 100

2,741

4,122

132

3,742

3,790

189 3,058

2,610 165

3,001

2,526

2,419

2,250

Feb

3,579

2,939

2,638

359

3,682

2,507

1,937

487

Mar

391

453

Apr

May

580

Jun

698

Jul

629

638

632

Aug

Sep

Oct

2,020

529

453

381

425

Nov

Dec

Jan

Feb

552

Mar

des any property listed as sold that month in the respective MLS, and is not restricted to only properties sold by Summit Sotheby's. "Wasatch Davis, Salt Lake, and Utah Counties. Prepared By Summit Sotheby's International Realty.

Q1 MARKET REPORT | Page 9

TOTAL SOLD VOLUME UTAH - DECEMBER 2018 - MARCH 2021

Total Sold Volume Utah - December 2018 to March 2021 2018

2019 Total Volume - Wasatch Back

Total Volume - Wasatch Front

Total Volume - Southern Utah

1.55B

168M

186M 738M

1,025M

964M

1,158M

1,115M

1,321M

1,347M

1,262M

1,104M

102M

99M

136M

175M

203M

165M

168M

183M

151M

158M

152M

123M

688M

908M

160M

141M 123M

616M

842M

1,328M

134M

1.05B

0.95B 0.86B

1.42B 242M

1.21B 1.10B

1.36B 239M

246M

1.51B 246M

241M

1.57B 142M

210M

232M

1.51B

204M

1.72B 1.75B

1.74B

Dec

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Jan

summitsothebysrealty.com

DEFINING TOTAL SOLD VOLUME This metric defines the total dollar volume of real estate sales by area. The Wasatch Back experienced exponential sales growth in 2020, with sales volume more than doubling when comparing to the same time period in years prior. The Wasatch Front and Southern Utah areas also saw growth patterns during this period.

2020

2021 2.48B 2.47B

2.43B

1.97B

645M

620M

474M

413M

2.33B

418M 1,236M

277M

Oct

Nov

952M

Dec

Jan

Feb

284M

Sep

206M

Aug

193M

Jul

201M

249M

Jun

264M

May

261M

Apr

244M

217M

Mar

286M

172M

876M

1,371M

1,343M

1,564M

1,594M

1,612M

1,554M 1,155M

150M

958M

1,734M

122M

1.23B

289M

1.35B

180M

1,053M

553M

1.45B

95M

143M 138M 881M 130M

Feb

508M

200M

1.94B

1.42B

1.38B

1.15B

2.10B 2.12B

Mar

Q1 MARKET REPORT | Page 11

AVER AGE SOLD DAYS ON THE MARK E T UTAH - DECEMBER 2018 - MARCH 2021

Average Days on the Market Utah - December 2018 to March 2021 138

135

140 130 120 110

119

106

100

118

113

106

102

101

93 85

52 39

50 35

Aug '19

Jul '19

58 45

Jun '19

47 38

45 41

20 10

Jan '20

Dec '19

Nov '19

Oct '19

Sep '19

May '19

Apr '19

Mar '19

Feb '19

Jan '19

Dec '18

Data is aggregated from three different MLS databases (PCBAOR, WFMLS, WCMLS) and was pulled on April 15th, 2021. Properties Sold include Back' includes all listings from Summit and Wasatch Counties. 'Southern Utah' includes Washington and Iron Counties. 'Wasatch Front' includes

summitsothebysrealty.com

DEFINING AVERAGE SOLD DAYS ON THE MARKET This metric follows the amount of days a property is available for sale. In all areas, we see this average number in steady decline. Cash of fers, ef ficient financing and robust buyer demand are driving forces in this trend.

Sold Avg DOM - Wasatch Back

Sold Avg DOM - Wasatch Front

Sold Avg DOM - Southern Utah

116 101 92 87

45 31

27 26

Oct '20

Jun '20

May '20

Apr '20

Mar '20

Feb '20

Sep '20

Aug '20

Jul '20

46 53

38 27

29 24

30 18

Mar '21

Feb '21

Jan '21

100

Nov '20

Dec '20

111

es any property listed as sold that month in the respective MLS, and is not restricted to only properties sold by Summit Sotheby's. "Wasatch Davis, Salt Lake, and Utah Counties. Prepared By Summit Sotheby's International Realty.

Q1 MARKET REPORT | Page 13

MONTHS SUPPLY OF INVENTORY (MSI) UTAH - FEBRUARY 2019 - MARCH 2021

Months Supply of Inventor Utah By Region 2.4 1.9

7.4

7.3

1.8

8.0

1.9

7.4

2.0

2.1

2.3

8.8

2.3

8.7 5.7

6.3

4.4

Southern Utah

2.6

6.1

7.0

4.3

4.2

Nov

Jul

Oct

2.9

3.3

3.2

Aug

3.0

Jun

Apr

Mar

Feb

2.6

3.0

May

3.8 3.2

10.0

Dec

2.5

Sep

Wasatch Back

Wasatch Front

2019

Months Supply of Inventory refers to the number of months it would take for the current inventory of homes on the mark

18th, 2021. Properties Sold includes any property listed as sold that month in the respective MLS, and is not restricted to only proper Counties. 'Wasatch Front' includes Davis, Salt Lake, and Utah Counties. Prepared By Summit Sotheby's International Realty.

summitsothebysrealty.com

DEFINING MONTHS SUPPLY OF INVENTORY (MSI) This metric is defined by how long (in months) it would take to sell all available properties currently on the market. Generally speaking, any where from four to six months of inventory is considered balanced. With each of Utah’s key selling regions well below this range, sellers have a key advantage

ry (MSI)

due to the lack of properties for sale given the current sales pace.

2020

2021 MSI

2.0 1.7

1.7

1.0

1.9

13.0

1.4 1.1

1.1

1.0

0.9

1.0

0.9

0.8

0.7 0.4

15.8 13.3 9.5

3.5

3.9

3.1

2.1

2.3

2.4

1.3

1.2

1.1

2.7

1.9

1.8

1.6

0.9

0.8 Feb

4.2

Jan

7.0

6.5

1.3

3.7

3.1

0.6 Mar

1.3

Dec

1.5

Nov

Oct

Sep

1.5

Jul

Jun

May

Apr

Mar

Feb

Jan

1.8

Aug

2.4

ket to sell given the current sales pace. Data is aggregated from three different MLS databases (PCBAOR, WFMLS, WCMLS) and was pulled on March rties sold by Summit Sotheby's. "Wasatch Back' includes all listings from Summit and Wasatch Counties. 'Southern Utah' includes Washington and Iron

Q1 MARKET REPORT | Page 15

OUR OFFICES 175 0 Park Avenue Park Ci ty 62 5 Ma in Street Park Ci ty

362 N M ai n Street Heber Ci ty

545 Ma in Street Park Ci ty

8020 Vi c tor y Ran ch Roa d Vi c tor y Ran ch, Kamas

Mont Ce r v in Plaz a #10 5 Deer Va lley ® , Park Ci ty 1 8 35 Three Kin g s Drive, #70 S ilver S ta r, Park Ci ty 8 41 7 E Ran ch Club Trai l Dri ve Prom on tor y, Park Ci ty 7085 G le nwild Dri ve Glenwild, Park Ci ty

1260 E Stri n gham Avenue, Sui te 100 Sugar Ho use, Sal t L ake Ci ty 870 East 90 0 South 9 th & 9 th , Sal t L ake Ci ty 13693 South 20 0 West , Sui te 10 0 Draper 15 1 N M ai n Street An cesto r Square, St . Geo rge

summit s otheby srealt y.com

All Available Inventory is the total “Number For Sale” that month. This includes any property that was on the market at any point during the month, as opposed to just the number of “For Sale at the End of the Month” which would be lower. This chart would capture any property that was listed and sold within the same month. Data is aggregated from three different MLS databases (PCBAOR, WFMLS, WCMLS) and was pulled on April 15th, 2021. Properties Sold includes any property listed as sold that month in the respective MLS, and is not restricted to only properties sold by Summit Sotheby’s. “Wasatch Back’ includes all listings from Summit and Wasatch Counties. ‘Southern Utah’ includes Washington and Iron Counties. ‘Wasatch Front’ includes Davis, Salt Lake, and Utah Counties. Prepared By Summit Sotheby’s International Realty. ©MMXXI Sotheby’s International Realty Affiliates, Inc. All Rights Reserved. Sotheby’s International Realty® is a licensed trademark to Sotheby’s International Realty Affiliates, Inc. An Equal Opportunity Company. Each Office Is Independently Owned And Operated. Copyright© Summit Sotheby’s International Realty 2021.