REAL ESTATE July 26, 2017

Heber City, UT

Heber City, Utah’s real estate  is extremely hot right now.  We could put a listing on the market right now and we could easily receive 10 offers. I wouldn’t recommend taking the highest bid, to my clients
Instead, we as Professionals working for our clients would take the cash offer because wee want to ensure that there were no hang-ups along the way toward closing, 
Appraisals, are not keeping up with the sales prices. If the appraisal doesn’t match the contracted price, buyers usually can’t get the mortgage and then never make it to settlement.
They’re kind of putting a glass ceiling where we can’t raise our prices any higher than we have comps to support it, so we REALTORS are definitely going with more cash offers than we used to,
First-time buyers are feeling the brunt of the competition. They tend to be more mortgage-dependent and many also using low down-payment loans, which tend to have stricter underwriting standards. When appraisals come in even the slightest bit under the contract price, the mortgage financing can fall through.
Anytime prices move up fast, the actual appraisal process, because they’re looking back in history, not forward into the future, they are lagging behind, 
From the buyer’s perspective, it’s a tough situation where they want to rely on the value of the home, on the appraisal, yet they know that if they decide to back away there are other buyers waiting to pounce.

Higman Real Estate Team
Paula Higman 
Director of Luxury Sales
Engel & Völkers U.S. Holding, Inc.
Member of the Park City Board of REALTOR®
Member of the National Board of REALTOR®

890 Main Street  Suite 5-101
Park City, UT 84098   USA