Buying a Home in the Park City Seller's Market

Who would have thought that a global pandemic would create so much demand for property?  We’re now almost 2 years into the Covid 19 pandemic and we have people from across the globe desiring to be in places like Park City that afford an optimum lifestyle with open space, outdoor recreation, and less congestion. Current owners in Park City are not wanting to sell because they already live in this amazing place. So here we are- extremely low inventory with very strong buyer demand, AKA, a “Sellers’ Market”.

How is a buyer to compete in this competitive environment?

Don’t be Surprised to Pay More than Asking Price We may likely make an offer over list price, or utilize a strategy called an “Escalation Clause” to ensure that you are able to procure your dream property. One of the early observations I had as this market heated up was that the buyer profile changed dramatically. No longer were buyers concerned about the “comparable property” that sold down the street but were comparing Park City to other ski resort destination locations such as Vail, Breckenridge, Jackson Hole, and others. Park City is still priced below these other ski resort towns, and so Utah is still the undervalued asset for you to purchase in a desirable mountain town.

Be Ready to Act Quickly One metric we use is called the “Days On Market” or DOM, which is how long it takes a property to go under contract with a buyer. Our average DOM is significantly down which means that properties are going under contract very quickly. As soon as there’s a property that you are interested in, we will schedule an in person showing or if you are out of town, a Face Time tour.  We’ll want to be one of the first buyers to view any new listings of interest.

Cash is King for Real Estate Offers, however if you are not paying in cash, it’s advisable to have a mortgage pre-approval letter ready to submit with your offer. Ensure that it shows the lender has verified your credit, assets, and required cash down payment. Contact me early so that I can get you in touch with trusted, local, lenders. There are pitfalls to real estate lending such as HOA regulations, etc.  Local lenders are aware these challenges and will be helpful in avoiding issues that national lenders may not foresee.

There is More to an Offer than Just Price Using a trusted Realtor such as Park City Life Realty, we dig deeper into what the seller is looking for selling their property.  There may be other terms of the offer, besides price, that are important to them. The seller may need a “lease-back” or a quick closing that could help strengthen your offer.

The “Almost Perfect House” Let’s remember the goal is to live in Park City to enjoy the amazing lifestyle. This may mean that you don’t get 100% of the items on your home’s wish list and that’s alright because once you start living the Park City Life, the lifestyle trumps all else.