Market analytics
Orem, Utah real estate market report.
Monthly sold prices, days on market, sale-to-list ratio, and absorption rate. Updated nightly from UtahRealEstate.com and the Washington County Board of Realtors.
Updated · Sources: UtahRealEstate.com & Washington County Board of Realtors
May 2026 · Market Analysis
Orem homes are closing faster than ever — but rising rates are quietly raising the tab
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The defining story in Orem this May is how quickly homes are moving off the market. The median days on market fell to just 15 in May 2026 — down from 22 in April and a dramatic drop from the 61-day median recorded in December 2025, meaning the typical home is now selling in roughly a quarter of the time it took six months ago. A year ago in May 2025, the median sat at 23 days, so Orem's spring 2026 pace is noticeably sharper even against a strong prior-year comparison. Active inventory reached 218 homes in May, up from 168 in April and 147 in March, yet that growing supply isn't slowing closings — it's simply giving buyers more to choose from before they commit quickly.
Market pulse
Days on market in Orem have compressed steadily and sharply since the winter: the median was 61 days in December 2025, eased to 58 in January, then 44 in February, dropped to 23 in March, held at 22 in April, and reached 15 in May 2026 — a four-month run that reflects genuine buyer urgency rather than a one-month blip. The sale-to-list ratio ticked up to 99.05% in May, the strongest reading since May 2025's 99.13%, and 13 of 45 closings went above asking price. New listings accelerated sharply, with 102 homes entering the market in May compared to 76 in April and 67 in March — the busiest new-listing month in the past year — yet the median sale price still moved up to $544,000 from April's $532,500, suggesting demand absorbed the added supply without conceding on price. The $400K–$700K band, which accounted for 34 of 45 closings, saw a median days on market of just 14, while the over-$700K segment — including a closing at Sleepy Ridge and another at Cherapple Farms — moved in a median of 11 days, the fastest of any price tier.
Mortgage context
The 30-year fixed rate now sits at 6.75%, up 0.25 percentage points from 6.5% thirty days ago, and 0.56 percentage points above February's monthly average of 6.19% — the low point of the past seven months. That climb from February's low has added real money to monthly payments for Orem buyers, and with the June monthly average already tracking at 6.68%, borrowing costs show no sign of retreating. FHA and VA options at 6.25% remain a meaningful alternative for qualifying buyers, particularly first-timers competing in the under-$400K segment where Orem's inventory is thinnest.
Payment math
On a median-priced home here — about $544,000 with 20% down — the monthly principal-and-interest payment lands at $2,823 at 6.75% — $72 more than 30 days ago at 6.5%, and $160 above the February low when rates averaged 6.19% and the payment would have been $2,663.
If you're buying
With the median days on market at 15 and a quarter of homes going under contract in 5 days or fewer, Orem buyers need to be pre-approved and ready to move the same day they tour — hesitation is costing offers. That said, the 23 closings that went below asking price (out of 45 total) show that not every home is drawing a bidding war; target homes that have been listed 30 or more days, particularly in the Lakeview and Ridge subdivisions where some listings have lingered, and use the 99% sale-to-list ratio as your ceiling rather than your floor when negotiating. Buyers priced out of Orem's $500K–$600K core may find more breathing room in neighboring Provo or further north along the I-15 corridor toward Lindon and Pleasant Grove, where competition has been somewhat softer.
If you're selling
Orem sellers are in a strong position in May, but the 102 new listings that entered the market this month mean competition is real — price to what similar homes sold for in April and May, not to last fall's numbers, and make sure your home is ready to show on day one since the buyers who act in the first week are the most motivated. Homes in the $400K–$700K range are moving in 14 days at a median, so if your property sits past three weeks, a price adjustment is likely warranted rather than waiting it out. Sellers near the Sleepy Ridge and Timpview corridors can lean on the strong over-$700K activity in May — that segment saw 8 closings at a median of $1,000,250 — but jumbo financing at 7.25% is a real friction point for buyers above $800K, so pricing just under key thresholds can widen your buyer pool.
Outlook
Over the next 60 to 90 days, Orem's market is likely to stay active but face a modest affordability headwind as rates hold near or above 6.75% — the June monthly average is already tracking at 6.68%, and each uptick narrows the pool of buyers who can comfortably qualify at Orem's median price. Inventory will probably continue building through June and July as the spring listing season runs its course, which may give buyers slightly more negotiating room than they had in May, particularly in the under-$400K segment where only 3 closings occurred last month and supply is nearly absent. Seasonal patterns suggest closings volume should pick up from May's 45, but if rates push meaningfully higher, the Silicon Slopes tech-corridor demand that has supported Orem's price floor could soften at the margin.
Watch for
If the 30-year fixed rate crosses 7% before August, expect days on market to rebound toward the 25–30 day range and the sale-to-list ratio to slip back below 98.5%, as the monthly payment on a median Orem home would approach $2,900 — a level that historically has caused a meaningful share of pre-approved buyers to pause or reduce their target price.
"Orem's spring speed run: homes selling in 15 days while the mortgage meter keeps climbing."
Common questions about Orem this month
Is Orem a buyer's or seller's market in May 2026? ▾
It leans seller, but with nuance. The median days on market was just 15 and the sale-to-list ratio was 99.05%, both pointing to strong seller leverage. However, 23 of 45 closings went below asking price, which means well-priced homes sell fast while overpriced ones sit — sellers who price accurately win, and buyers who target the latter group can still negotiate.
Why are homes selling so much faster in Orem this spring compared to last winter? ▾
Seasonal demand is the primary driver — spring is historically the most active buying period along the Wasatch Front, and Orem benefits from BYU-related household formation in May as the academic year ends. The median days on market dropped from 61 in December to 15 in May, a pattern consistent with the city's seasonal rhythm, though this May's pace is sharper than May 2025's 23-day median, suggesting demand is running ahead of last year's spring.
How much has the mortgage rate increase actually affected monthly payments on a typical Orem home? ▾
On a median-priced $544,000 home with 20% down, the monthly principal-and-interest payment is now $2,823 at 6.75%. That's $72 more per month than 30 days ago when rates were at 6.5%, and $160 more than February's low when rates averaged 6.19% and the payment would have been $2,663. Over a year, that February-to-now difference adds up to nearly $1,920 in additional payments.
Are there still affordable options in Orem under $400,000? ▾
Very few — only 3 homes closed in the under-$400K price band in May 2026, compared to 12 in May 2025. The median sale price in that segment was $300,000, and those homes took a median of 27 days to sell, longer than the overall market, suggesting they often need condition or location trade-offs. Buyers with a strict sub-$400K budget may find more options in Provo or further south toward Spanish Fork.
With 218 active listings in Orem, is inventory finally catching up to demand? ▾
Inventory has grown — 218 active homes in May is up from 168 in April and 132 in December — but at May's pace of 45 closings per month, it would take roughly 4.8 months to sell every home currently listed, which still favors sellers in most price ranges. The growth in new listings (102 in May alone) is a meaningful shift, and if that pace continues into June and July, buyers will have more choices and slightly more negotiating room than they did this spring.
Number of Listings
Active inventory · new listings · sold per month
Listing Prices
Active median list · new median list · sold median sale
Absorption Rate
Months of supply — active inventory ÷ monthly sold rate
Sale-to-List Ratio
Close price ÷ original list — buyer/seller leverage
Days on Market
Median days from listing to close
Price Volume
Total dollar volume — active · new · sold per month
May 2026 cohort breakdown
Distribution of what closed last month — by price band, sale-vs-list outcome, and top subdivisions.
How sales priced vs asking
45 sold homes that had a list price recorded
Days on market spread
Quartile distribution
Median 15 · 25th percentile 5 · 75th percentile 42
Needed a price change
Sold listings that had a recorded price change before close
11 of 45 sold homes had at least one price change while listed. Lower = sellers are pricing right the first time.
Sales by price band
Closed-price bucket → sold count and median days to contract
Top subdivisions this month
Ranked by closed count
- 1. Abbey Road Community 2 sold · $1,360K · 207d
- 2. Ridge 2 sold · $543K · 42d
- 3. Sleepy Ridge 1 sold · $1,273K · 13d
- 4. Cherapple Farms 1 sold · $1,192K · 8d
- 5. Connelly Heights 1 sold · $745K · 3d
May 2026 by property type
How each housing type performed last month — 42 closings total across subtypes.
Summary Statistics
| Metric | May-26 | May-25 | % Chg | 2026 YTD | 2025 YTD | % Chg |
|---|---|---|---|---|---|---|
| Sold Count | 45 | 59 | -23.73% | 226 | 229 | -1.31% |
| Median Sale Price | $544,000 | $480,000 | +13.33% | $508,008 | $508,692 | -0.13% |
| Median DOM | 15 | 23 | -34.78% | 32 | 27 | +18.52% |
| Sale-to-List Ratio | 99.05% | 99.13% | -0.08% | 98.66% | 99.07% | -0.41% |
Past months
Browse historical Orem reports — each month's snapshot stays at its own permanent URL.
Sources: UtahRealEstate.com and the Washington County Board of Realtors, aggregated by Best Utah Real Estate. Sale-to-list ratio compares closing price to the final list price (post-reduction). Absorption rate = active inventory ÷ monthly sold rate.