JUST SOLD! New Construction Townhouse

I just sold this townhouse to some first-time homebuyers.

Located at 404 E 475 N in Ogden, these townhouse units were recently finished being built.  The seller listed the unit for $114,900.  We offered $114,000 and asked the seller to pay for my client's closing costs of $3,500.  The sellers accepted this offer.

Everything went smoothly until the appraisal came back.  The appraiser indicated that the unit was only valued at $111,500.  That was a shock to us since comparable sales seemed to support the sales price and the contract price was within the 5% "margin of error" which appraisers are granted when adjusting for market movements up or down.

We challenged the appraisal but were rebuked by the Appraisal Management Company.  They rebuffed us by indicating they should have lowered the price further.  Let us never mind the fact that a willing buyer and a willing seller negotiated (with no gun to the back of either party) a price point and terms that were agreeable to each.  Apparently, these sort of free market negotiations don't fit into the rigors of this Appraisal Management Company's valuation method.        

Thus, we were compelled to make adjustments to our contract to consummate the transaction.  We reduced the price to $111,500 and asked the sellers to only include $1,000 in closing costs for the buyer.  Fortunately, the buyers were well qualified and had the additional resources available to make this work.  We closed about 5 days earlier than anticipated.

Congratulations to my buyers!

If you are looking for a new home, CONTACT ME, and lets see what is out there that is just right for you.