Fact or Fiction?
There are all kinds of misconceptions about real estate floating around out there. From the stability of the market to confusion about real estate processes to incorrect assumptions about financing and appraisals, there’s a lot that many buyers and sellers may not fully understand. And that’s ok! Buying and selling real estate is a highly complex process that involves a bunch of different people, organizations, and institutions, so the everyday person shouldn’t expect to know every little detail.
This month, we’ll be offering a short series of blogs on the myths and realities of real estate in Fremont County in order to help you clarify what’s fact and fiction in the real estate world. In today’s post, we tackle the all-important issues of home prices and appraisals.
Myth #1
Home prices in Fremont County are going to come down…
Reality
This is actually unlikely! Fortunately, Fremont County has not experienced the market bubble that has happened in other parts of the country. In fact, we continue to have a low inventory of well-priced homes all over Fremont County. Because of this, we still see multiple offer situations on some properties. Home prices have remained stable over the last couple of years, with a slight trend upwards for homes across the pricing spectrum.
Myth #2
Appraisals always come in just above asking price…
Fact
This is absolutely NOT true! Just a month or two ago, we heard of an agent having a property come in $20,000 under the asking price. Fortunately, we have never had an appraisal come in that low. However, we have seen a few homes here and there come in a small percentage under asking price.
Appraisals are ordered by the lender to prove the contract price, so appraisers will attempt to meet that price. However, appraisers are independent of Realtors, lenders, and other stakeholders and offer their services with impartiality. Appraisals depend in part on comparable data to prove the value of the home, so if a home is in an area where sales have been stagnant or if the home is unusual it’s size, features, or location, finding comparable properties can be a little tricky. This myth about appraisals also highlights the importance of pricing the property appropriately. If a Realtor prices a home too high, chances are much greater that the appraisal won’t meet that target.
Conclusion
In the next blog in this series we will take a look at a couple of myths related to the selling side of real estate. In the meantime, if you have any questions about buying or selling property in Fremont County, feel free to contact an agent here at Wind River Realty. We’re always happy to answer questions and improve the community’s understanding of the local real estate market. Stop by our office at 309 North Broadway in Riverton, or give us a call at 856-3999!