With the soaring prices of homes in Park City, Utah, once a quaint town, frustrated buyers are leaving the tourist-filled mountain center in search of more affordable locations.
The average home price in Park City has increased by 35 percent in 2023, with single-family homes reaching an average of $4 million. This surge in prices far surpasses the 9.4 percent increase in Vail and the mere 3.2 percent increase in Aspen, according to a report by Summit Sotheby’s International Realty.
As a result, nearby towns such as Midway, Heber City, and Kamas are offering equally stunning mountain views to home buyers near ski locations – but with a slower pace of life and, most importantly, much more affordable property prices.
This trend has led savvy buyers to leave Park City in favor of its charming neighbors – where million-dollar homes are still within reach, as reported by the Wall Street Journal.
Park City, a former silver mining town with a population of only 8,500, now attracts 8.4 million visitors annually. The number of ski visitors has surged to 2.79 million, up from 1.7 million a decade ago. However, as the city’s popularity has grown, so have home prices.
Rob Ferguson, a cannabis entrepreneur, and his wife Courtney Capellan-Ferguson were surprised when they decided to move back to Park City, Utah. The once quaint mountain town had transformed into a rapidly developing tourist hub with skyrocketing property prices. Ferguson told WSJ that the home prices were insane, and he couldn’t find anything below $2 million except for condominiums.
However, the couple didn’t give up on their mountain living dream. Instead, Ferguson turned his attention to Midway, a charming town just 18 miles south of Park City. The Ferguson family found a five-bedroom, 3,200-square-foot home with stunning mountain views for just over $1 million in July.
„It’s beautiful and still undeveloped,“ Ferguson said about their new hometown. But they are not alone. More and more home buyers are opting for the more affordable neighboring towns of Park City, where home prices are rising but still accessible.
Michael Coopman, 63, and Lisa Coopman, 60, were drawn to Heber City for its value. After living in Park City before moving away for several years, they returned just to find a better future for real estate outside the city. „It seemed like a good opportunity,“ he told the outlet. The Coopman family purchased a five-bedroom, 3,800-square-foot home in Heber City for around $1.2 million in August.
Since then, they have invested heavily in renovations, adding wallpaper, glass showers, repainting, and retiling the fireplace. „In Park City, it would have been twice the amount,“ Michael told WSJ.
The average home price in Heber has surged to $982,863, up 16 percent from last year. Kamas is also not far behind with an average home price of $1.015 million.
„It’s attracting a different type of buyer that we’ve never seen before,“ said Nancy Tallman, a real estate agent at Sotheby’s International Realty, to the outlet. Trish McMillen, an agent at Windermere Real Estate, said she sold seven out of 10 of her listings in Heber City during the summer. „Heber City is now a ski town,“ she told the outlet. She said home buyers are going to Heber City and Midway because they don’t want to pay Park City prices but still want to be close to ski areas.
Ken Woetzel, 67, and his wife Lee Ann Worth-Woetzel, 65, left their home in New Jersey to build a 5,000-square-foot home in the Red Ledges development in Heber City. „Park City crossed our minds, and the convenience is certainly nice, but we didn’t want the hustle and bustle,“ Woetzel told WSJ.
Meanwhile, Karl Sjogren, 39, a cybersecurity expert, opted for a $1.75 million, 3,300-square-foot home in Jordanelle, near the upcoming Deer Valley East Village development. He said besides home prices, dining in Park City is also very expensive – catering to wealthy tourists who visit and are willing to pay the prices. Sjogren said the size of the home he wanted to buy would cost $3 million in Park City – but more importantly, even breakfast alone would cost $50 (for an acai bowl and scone).
„There’s nothing I can live except nature in my current home,“ Sjogren said, praising the tranquility of his new environment. And when dining out, he said he drives 15 minutes to Midway to find more affordable restaurants.
Luxury communities are emerging around Park City, offering a taste of luxury living at a lower cost. Marcella Club entices buyers with ski homes ranging from $2.78 million to $8 million. For those craving slope-side living, Velvaere offers ski-in, ski-out properties ranging from $2.75 million to $12 million. SkyRidge features home sites starting at $685,000 and single-family homes ranging from $3.5 million to $6.3 million.
In conclusion, the escalating home prices in Park City have led buyers to explore neighboring towns for more affordable options while still enjoying the beauty of the Utah mountains. The shift in real estate trends highlights the importance of value and quality of life in the decision-making process for home buyers.