The Buyer’s Guide for Park City & Deer Valley Real Estate

Understanding The Real Estate Market of Park City, Utah

Our goal with every client is to provide unsurpassed service and knowledge when buying and selling real estate in Park City and Deer Valley.

As we work together to buy your new property in Park City or Deer Valley, we believe it is essential to make the home-buying process as fun, convenient, and efficient as possible. Welcome to the crash course on buying Park City Real Estate.

How Much do Homes Cost in Park City, UT?

The entry-level price point for Park City single-family homes starts at around $1,000,000 and can exceed $40,000,000. Studio condos may be in the $250,000 price range, while large luxury condos may exceed $10,000,000.

When searching for homes online, you’ll recognize that there is more value in homes priced over $5,000,000, townhomes over $3,000,000, and condos over $1,800,000. Read more about the happenings of Park City real estate trends.

What types of homes does Park City offer?

Condo: When you buy a condo, you have full ownership of your unit and a share of the building’s common areas (gym, pool, playground). You retain complete control to rent or sell the property at any time. Condos are an excellent option for second homeowners seeking a turnkey property with an HOA that manages the maintenance schedule.

HOA fees in Park City start at the $500/mo mark, and luxury condominiums in Park City work their way up over $5,000/mo - depending on what type of amenities you want. Typically, the cost of ownership, especially around ski resorts, can be offset by renting the property nightly.

Townhouse: A Park City townhouse is typically a three- or more-story building that may be attached to another building. It may serve as a single-family home or a condominium. While townhouses are closer together than single-family homes, they usually have backyards. In addition, they are more vertically oriented in their living space than in a condominium on a different floor.

Townhouses are typically valued higher than condominiums and offer the same turnkey lifestyle, but they are more comparable to a single-family home. Depending on the subdivision, townhomes may be classified as homes or condos on the Park City MLS.

Fully detached single-family home: Single-family homes in Park City come in all different shapes and sizes. In Old Town, it is common to find homes under 1,000 square feet, while in areas such as The Colony at White Pine, homes are 33,000 square feet. Outside Old Town, homes are often larger and more spacious than condominiums, offering the full benefits of homeownership. Many areas of town don’t allow for nightly rentals of single-family homes.

Ski-in-ski-out homes and condos tend to be the highest-priced properties and some of the most exquisite homes in Park City and Deer Valley. These properties are located at Deer Valley Resort, Canyons Village, and around Old Town. There are also new construction options at Mayflower Mountain Resort.

Is it Better to Rent or Buy in this Ski Town?

I’ve worked with several buyers who started living in Park City by renting a place and taking time to understand where they want to live long-term. If you’re planning on living the Park City lifestyle, that may work best for you, but with a few hours of touring Park City, we can narrow down the areas that will work best for you. Some people in Park City have chosen to purchase a smaller property to get their foot in the door and, after several years, step up to a larger property that will work well for living in Park City year-round. Ultimately, it’s what works best for you!

Should I Hire a Real Estate Broker When Buying in Park City?

You can buy a property in Park City without a Realtor, but you’ll be at a disadvantage. The listing Agent works for the Seller and is responsible for maximizing the Seller’s profit, much like a board of directors at a publicly traded company. Many top agents in Park City have been in the market for a long time and understand it very well. We are skilled in negotiation, market direction, and securing the best deals for our clients.

Should I get Pre-Approved?

If you need financing, the answer is Yes, Yes, and Yes! A pre-approval letter typically requires a 20-minute phone call with a lender and can be provided to the Seller with the purchase contract. If you’re paying cash, be prepared to supply proof of funds when we go under contract. We want you to look as strong as possible for the negotiations when submitting an offer to purchase Park City real estate.

To get a great price on a property, it is vital to show that you come from a position of strength and can make the transaction as easy as possible for the Seller. No one wants to go under contract and start the moving process only to learn the buyer can’t purchase the property.

When can I Move Into a Property I’m buying?

Possession of the property, or the date you can move in, is negotiated in the purchase contract. If the property is not occupied as a full-time residence, you’ll most likely be able to move in after funding and recording. If someone lives on the property, we typically request 72 hours’ notice before possession. Seventy-two hours gives the sellers time to ensure the closing occurs, the funds are in their account, and everything is moved out.

Are You Ready to Buy a Park City Property?

Here’s our process of buying real estate in Park City.

Maintain continuous communication.
Carefully analyze your needs and remain sensitive to your unique requirements.
Orient you to current market conditions.
Provide valuable community data.
Explain local real estate practices and procedures.
Provide information on financing alternatives.
Thoroughly analyze the entire inventory of homes for sale.
Provide information on selected properties that meet your needs.
Avoid wasting everyone’s time.
Professionally show selected properties.
Explain the process of offering a presentation.
Carefully review the offer to purchase.
Conscientiously facilitate the negotiations.
Explain post-purchase activities and responsibilities.
Follow up on post-purchase activities.
Keep in touch after closing.

Our job is to help make your dream of buying a Park City property come true!

Advantages of Working with The Carlson Real Estate Team To Buy a Home

Buying a home in the Park City area is often a long-term goal and one of the most rewarding experiences we will ever have. Without the proper knowledge, it can also be one of the most challenging. If you haven’t purchased a property in a while, the online research process may seem overwhelming, and even if you’ve been through it dozens of times, every move is different and presents new challenges. So, one clear advantage of enlisting our help is that you don’t have to “go it alone.”

I have the training, knowledge, and experience to help you through each step of the process. That means we understand the process of buying Park City real estate, and we are here to help you every step of the way, ensuring every detail is handled correctly. We like finding, buying, and having you move into your new home as smoothly, quickly, and enjoyably as possible. In addition, we can provide valuable information on market trends, communities, neighborhoods, and homes for sale throughout Park City. Remember, not every home seller runs an online ad, places an ad in the local paper, or puts up a yard sign.

We can provide you with access to complete, regularly updated information on every home listed by any broker on the Park City Multiple Listing Service (MLS). Our combination of unique skills ensures a smooth process at every step.

Buying a Property in Park City

Buying a house or condo can be confusing. There can be many directions and options for where you want to be in Park City. For example, do you golf? Would you like to be close to skiing? How far from the airport is acceptable? What amenities would you like to have?

I can often take a client looking at properties in Park City for years and have their search narrowed down within two hours - we are here to help. We can show you properties that any broker in Utah has listed for sale. Full-service real estate means you can call me at 435-200-5478 for all the information you need.

Would you like to see a property you found online, such as RealEstateInParkCity.com, Realtor, or Zillow?
See a real estate sign
Read about a house in the paper or a magazine
Hear about a property
Want to preview a property
Want more information or to preview new construction?
- By having us represent you with a builder, you receive all our services and the builder’s services at no additional cost. The builder is paying for your representation; the project agent only protects the builder’s interests.

The Process of Buying a Park City or Deer Valley Home or Condo:

Purchase Contract (Offer and Acceptance)

When negotiating the purchase of your new Utah property, the first step is to make an offer. This is required to be written and will include the following:

The amount you are willing to pay,
Financing terms,
Any personal property specifically included or excluded,
Loan commitment date or possibly proof of funds,
Closing and occupancy date,
Other contingencies and dates, including inspections.

The offer will be outlined in a standard real estate purchase contract approved by the State of Utah. If the Seller does not accept the initial offer, we’ll continue negotiating until mutually agreeable terms are reached for both the buyer and the Seller. Once both parties agree on the terms, the buyer completes financing and arranges inspections. We will provide a list of lenders and local inspectors best suited for your situation.

Earnest Money Deposit for Park City Real Estate:

After the contract is fully executed, you will submit a check or wire transfer to Keller Williams Park City, our brokerage, to hold the earnest money. The deposited amount will be held in a non-interest-bearing trust account. This payment demonstrates your sincerity in your purchase attempt. It is fully refundable if the contract is canceled before the contract deadlines, including financing and appraisal; if your loan is not approved; or if the Seller does not meet the contract conditions.

The standard earnest money deposit for a Park City real estate transaction is 3% to 5%. This earnest money will be credited to you at closing as part of your down payment or closing funds.

Title Insurance on Park City and Deer Valley Properties:

When a property is sold or refinanced, the lender and/or buyer needs a preliminary title report to determine what liens and encumbrances are against the property. The property seller pays for the buyer’s title insurance policy, and the buyer pays for the lender’s policy. Title fees are low when you pay cash for a Park City home or condo, since the Seller pays for your policy.

Items that a preliminary title report includes:

Easements of record,
Restrictions, covenants, and conditions (CC&Rs),
HOA minutes and budget
Liens and/or judgments,
Exact vested owner of record, and
Legal description.

Once the sale of the subject property is final and the title company has recorded the necessary documents, it will issue a policy of title insurance to the new lender and the buyer, evidencing clear title to the property.

Understanding Real Estate Brokerage Relationships With Your Park City Realtor

An explanation of who represents you. In real estate, brokers and agents must disclose the nature of their working relationship with buyers in a transaction. Several types of relationships are available to you. It would be best if you understood these relationships when a broker provides specific assistance with your real estate purchase.

Buyer’s Agent and Seller’s Agent relationships are commonly referred to as “agency” relationships and carry legal duties and responsibilities for the broker, the buyer, and the Seller. For example, the Transaction Broker relationship places the broker as a “middleman” who assists both parties in the transaction. A buyer is advised to consult legal counsel before entering into any agency relationship.

Buyer’s Agent

A Buyer’s Agent acts solely on behalf of the buyer and owes duties to the buyer, including the utmost good faith, loyalty, and fidelity. The Agent will negotiate on behalf of and advocate for the buyer. The buyer is legally responsible for the Agent’s actions when the Agent is acting within the scope of the agency.

The Agent must disclose to sellers all adverse material facts concerning the buyer’s financial ability to perform the transaction terms and whether the buyer intends to occupy the property. In addition, a separate written buyer’s agreement is required that sets forth the parties’ duties and obligations.

Seller’s Agent

A Seller’s Agent acts solely on behalf of the Seller and owes duties to the Seller, including the utmost good faith, loyalty, and fidelity. The Agent will negotiate on behalf of and act as an advocate for the Seller. The Seller is legally responsible for the actions of the Agent when that Agent is acting within the scope of the agency. The Agent must disclose to buyers or tenants all adverse material facts about the property known by the Agent. A separate written listing agreement is required that sets forth the parties’ duties and obligations.

Transaction Broker

A Transaction Broker assists the buyer, the Seller, or both throughout a real estate transaction with communication, advice, negotiation, contracting, and closing, without being an agent or advocate for any party. Therefore, a Transaction Broker does not owe the duties of a Buyer’s Agent or Seller’s Agent to either the buyer or the Seller. However, a Transaction Broker owes the parties several statutory obligations and responsibilities, including the duty to use reasonable skill and care in performing any oral or written agreements.

A Transaction Broker must also make the same disclosures as agents about adverse material facts concerning a property or a buyer’s financial ability to perform the terms of a transaction. When representing a seller, we require that the buyer either have a buyer’s Agent or sign a form stating they are unrepresented. We do this because 70% of all real estate lawsuits involve a Transaction Broker.

Using an Agent to Purchase a Newly Built Home or Condo in Park City and Deer Valley:

You might be asking: Why should I use an Agent to purchase a new home? The advantages of having us help you buy a new home are the same as those for purchasing a resale home. We can provide valuable market insights, quickly identify the right fit, and offer expertise in contract drafting, negotiation, and closing assistance.

The builder has a professional real estate representative looking out for their interests, and you deserve experienced representation looking out for yours.

Buying a new home is slightly more complex and time-consuming than buying a resale. Having spent years working with builders, we have built rapport with them and their agents, enabling us to negotiate a better deal for you. In addition, we can provide you with more information from the builder, including sold data, future developments in the area that might affect your property’s value, floor plans, and other options that could work well for you at a better value.

We draft the builder’s purchase contracts, which protect the builder rather than the buyer. Your interests must be professionally represented when entering into a semi-custom or build-to-suit home contract. These transactions are complex, and the contract details must be exact to protect you and ensure you get the home you want!

Is There Any Advantage to Not Using an Agent to Purchase New Construction?

No. There is no financial advantage to buying directly from the builder. A real estate broker usually represents builders, the listing agreement and compensation have already been predetermined, and the listing contract has been signed. This is referred to as a “single-price” policy, meaning you will be charged the same price whether an Agent represents your interests. As with any resale, the Seller pays your Buyer’s Agent.

Item to note: Some builders require your Agent to accompany you on your first visit to the builder’s sales office, or they will not pay your representative’s fee, leaving you with no representation.

Quick story: Derrik recently helped navigate getting a new construction home under contract while many other buyers were left in line. In a new development, only a handful of highly desirable homes were released every few weeks with a waiting line. As a result, we positioned the client to get under contract and save her $30,000 compared to her original budget.

During the Property Search, We Will . . .

Discuss the benefits and drawbacks of each property concerning your specific needs.
Keep you informed regularly.
Check the MLS database with other brokers daily for new listings that meet your criteria.
Prepare an itinerary and “tour” map on which all homes meeting your criteria have been located.
Keep you up to date on changing financial conditions that may affect the housing market.
Be available to answer any questions or provide assistance with your home purchase.
Discuss market trends and values relative to properties that may interest you.
Introduce you to local builders to discuss building your next home.

Viewing Park City and Deer Valley Homes & Condos

After our initial counseling appointment, we will understand your wants, needs, price range, and location well. We will use the Park City MLS and the Wasatch Front MLS to find homes and condos currently for sale. We will discuss which properties will work best for you and arrange to show you the best homes or condos within your budget. Remember to wear shoes that are easy to slip on and off when viewing properties. Feel free to open the cabinets and closets as you walk through the homes.

Most often, the sellers will be absent, but should they be present, they will understand your need to examine the home carefully. When a home appeals to you, make notes. It is easy to forget details, so we recommend taking notes for each property we preview. Don’t be surprised if the first property you see is perfect for you, and don’t be discouraged if none of those you visit on the first day are exactly what you want. We are committed to finding the property you want to call “home” and will work diligently until you do. More often than not, we can quickly identify the home of your dreams and find 3-5 houses that best fit your stated preferences.

After the Search for Your Park City Home or Condo

You will be provided with any information you may request to help you decide on a property you wish to purchase. We will be your resource for providing information. Please let us know what information you need.
Prepare an offer to purchase agreement and explain each detail.
Provide copies of all documents related to the purchase agreement and financing.
Make arrangements with a loan officer to accompany you to the loan application if you haven’t already.
Coordinate any necessary property inspections to evaluate the property and negotiate the inspection results.
Track the step-by-step process of completing the terms of the contract.

Understanding Closing Costs of Buying or Selling a Home

Application Fee: ......................... The lender charges the fee to cover fixed costs associated with mortgage loan processing, such as appraisal, credit report, and underwriting.
Closing Fee: ............................... The title agent who prepares the closing documents and closes the loan on behalf of the lender charges the fee.
Commitment Fee: ....................... This is often called an origination fee and is generally calculated as 1% of the mortgage amount or as an amount the lender charges.
Discount Points:......................... Each point equals 1% of the mortgage amount. The lender uses points to adjust the mortgage’s yield when it is sold to an investor. Therefore, the borrower can obtain a lower mortgage interest rate by paying more points.
Funding Fees: ............................ Ordinarily applicable to VA loans only, equal to a percentage of the loan amount. The fee is due at closing or may be added to the loan amount and financed.
HHomeowner’sInsurance:............ A one-year premium is due before closing.
Mortgage Insurance:................... The lender requires insurance when the down payment is less than 20%. In the case of loan default, this insurance reduces the lender’s loss.
Pre-Payables: ............................. Adjustment to escrow accounts from closing to the date of the first payment. Interest is paid through the end of the month of closing; taxes are paid through the end of the month of closing, plus the following month. Two months of PMI may be collected. In addition, two months of homeowner’s insurance may be collected. A homeowner’s insurance policy and a receipt showing payment of the first-year premium must be provided.
Processing Fee:........................... Fees charged by the escrow processor (either working for the escrow company, title company, or real estate company) for administrative escrow services performed from the point of contact through closing.
Recording Fees: ......................... State and municipal entities charge fees to enter closing documents into the public record.
Survey Fee: ................................ The lender typically requires and uses the fee to verify encroachments on or from the subject property.
Title Insurance:........................... Protects lenders and homeowners against financial loss resulting from legal defects in the title.
Underwriting Fee:...................... The fee is usually included in the application, though practices vary by lender.
Flood Certification Fee: ............ The lender must determine if the home requires flood insurance.
Tax Service Fee:......................... A one-time charge collected at closing arranges the payment of real estate taxes from the borrower’s escrow account to the taxing authority or verifies payment to the taxing authority.

I’ve been involved in real estate sales in Utah since 2004 and have come to rely on a group of professionals we believe are best suited to a specific need. Approximately 50% of Park City buyers pay cash, but if you’re seeking financing, we typically refer you to two or three lenders who are best suited to your needs and property type. For example, a particular lender may be better suited to a Deer Valley condo.

At the same time, another agent can provide you with a better option for a Park City single-family home. There are many licensed home inspectors, but we have a few standout inspectors who are the best we have worked with, and they perform the majority of our buyers’ inspections.

Suppose you have a lender you love to work with. In that case, it is acceptable to use them when purchasing property in Park City. However, we ask that they understand the type of property you will be purchasing, the HOA nuances, and the nightly rental aspect of Park City. When working with us, we will refer you to the best of the best and only people we would work with ourselves. Working with true professionals has enabled our buyers to have smoother transactions and a better experience.