Homes are being bought days and sometimes hours after they hit the market in some of Salt Lake City's most popular neighborhoods such as the Avenues, Federal Heights and Sugar House, according to a report by the Salt Lake Board of Realtors released Thursday.

Median selling prices in Salt Lake County rose 16.7 percent to $200,747 in the first quarter, while the number of homes that sold was up 7.5 percent.

The market is the hottest in the Salt Lake City area, although sales are brisk and home prices are rising markedly in the other Wasatch Front counties as well. Prices were up nearly 14 percent in Utah County and more than 10 percent in Davis County, according to the report.

"The good news is that we're seeing healthy increases in sales and prices but not unrealistic increases that could lead to a housing 'bubble' like they did in other states," said Deborah Sjoblom of the Salt Lake Board of Realtors.

Just how quickly homes are selling, though, is shocking some sellers, especially those who have watched homes languish on the market in recent years. Utahns Bruce and Katie Croxall, who are moving to Kansas, were surprised to receive a full-price offer on their home in South Jordan just two days after it went on the market in late March.

"Our agent said it would go fast - but two days?" said Bruce Croxall. "It sure makes the whole process of moving a lot easier."

The Croxalls' Realtor, Marilyn Briggs of Stonebrook Real Estate in Cottonwood Heights, said while sellers are rejoicing, the hot real estate market "can be really tough on buyers."

She said buyers are making full-price or more than full-price offers only to see someone else get the home they want. Others are frustrated that there are too few homes in their price range.

Aside from strong population and job growth, investors also are pushing sales and prices higher, Briggs said.

Out-of-state investors are snapping up properties along the Wasatch Front - especially in the Salt Lake City area - either for rentals or to fix up and resell at a profit.

"There are investors that are buying homes in the Salt Lake area sight unseen," Briggs said. "They are telling their Realtor to just go ahead and make an offer."

Kevin Larsen, broker with Coldwell Banker Residential Brokerage office in Salt Lake City, attributes some of the strong increase in sales and prices in the first quarter in part to higher interest rates.

"You hear all the talk about interest rates rising and prices are rising, so buyers want to get in now," he said.

But getting in now can be tough. Steve Camargo, a manager with Century 21 Elite in Murray, said buyers looking in the $150,000 to $200,000 price range are having the most trouble finding available homes for sale. Even a number of those who can spend $200,000 to $250,000 are having some difficulty getting the properties or the neighborhoods they want.

"My advice is that if you find something you like, move fast," he said.

"It may not be around very long."

lesley@sltrib.com