Home and condominium sales in Salt Lake County in the 4th quarter of 2009 came roaring back compared to the same quarter a year earlier, according to preliminary figures by the Wasatch Front Multiple Listing Service.

In the three months ended Dec. 31, there were 3,025 homes and condos sold in Salt Lake County, nearly a 40 percent increase compared to 2,184 sales in the fourth quarter of 2008.

The increase is welcome news after two very difficult years of sagging sales and dismal confidence. In fact, last year at this time the Board reported that fourth quarter (2008) sales were down 21 percent. Two years ago at this same time sales were down 36 percent.

Much of the sales increase is due to the $8,000 federal home buyer tax credit. However, the tax credit is not the only driver of increasing home sales. Single-family home prices have fallen 13 percent from their peak. Condo prices are also down. Mortgage interest rates remain at record low levels. In addition, new home building has slowed to a crawl, steering many buyers to existing inventory.

These factors put buyers in the driver’s seat. According to a recent study commissioned by the Board, home sales in 2010 could rise as much as 10 percent compared to 2009 sales. This is welcome news and evidence of the resilience of our economy and our market.

Source – Salt Lake Board of Realtors