IT'S CLOSING DAY ON YOUR NEW HOME!

In school, it’s graduation........

In romance, it’s the wedding........

In real estate, the magic day is closing........ 

Your big day - The day of Closing/Settlement

Plan on spending at least two hours at the closing agent’s office. You might get out in one, but don’t bank on it. Have a snack first and don’t be shy if they offer you water or coffee. You’ll need to keep your mind alert because every one of those forms is actually kind of important. This may seem easy because you come into the room a little jazzed and nervous. But the process will wear you down and you’ll be tempted to just blindly sign every piece of paper they put in front of you. Don’t.

You may be wondering why you need to go in and sign in person at all. After all, we’re getting used to handling pretty much everything online. It’s allowed now by the federal government and someday it may become the norm. But for now, physical signatures are still preferred to ensure that everyone has been able to read and verify the documents.

Who’s going to be there?

In some parts of the country, the buyer and seller sit down together at closing. In other areas, you’ll never set eyes on your seller as you each have a separate appointment. The closing agent is usually a title officer, an escrow company officer or an attorney. The important thing is that the closing agent is a neutral third-party who as the knowledge and training to get everything completed correctly. You and the seller agree on the closing officer as part of the original offer on the home. In addition to the closing agent, you may also have your real estate agent or an attorney present, especially if it’s your first home. In a few states, an attorney must be present at closing.

What should you bring?

In addition to patience, you absolutely must have the following:

Photo ID: The closing agent has to verify that you are who you say you are. A driver’s license or current passport will do. 

A Costco membership card, not so much.  "hahahahah"

Cashier’s or certified check: This is to cover any down payment and closing costs you owe. Do not bring personal check or cash. You’ll know exactly how much to get the check made out for because federal law requires that you be told the amount you need to bring to closing at least one day before settlement. The closing agent will tell you whether you need one check or two and to whom they should be payable. If you want to wire the funds instead of getting a certified check, make sure you do it a couple of days in advance, to protect against any glitches at the bank that could delay your closing.

Proof of insurance: The closing agent needs to see proof that you have the insurance in effect on closing day and a receipt showing you’ve paid the policy for a year. 

Final purchase and sales contract: Just in case you need to double-check a detail against closing costs.

What will you be asked?

You  will need to tell the closing agent how you wish to take title of the home. 

Sole owner: An unmarried person buying a house alone has the easiest task. Title is taken as a sole owner in the individual’s name.

Joint tenancy: When a married or unmarried couple buy a house together, things get more complicated. If they choose to take title with joint tenancy, each has the right of survivorship. If the spouse or partner dies, full ownership goes to the survivor. There are tax advantages for the survivor as well, regardless of marital status.

Tenants-in-common: When two or more individuals buy a home together as tenants-in-common, they are partners who may own unequal shares and who can sell their shares of ownership independently.

How many papers will you sign?

More than you could ever have imagined. You’ll actually have two closings, one on your loan and one on the purchase of your house. Here are some documents you will encounter:

Documents related to closing your mortgage

Promissory note: Just as it sounds, when you sign this, you are promising to pay back the sum you’re borrowing. It also outlines the terms of the loan, including any prepayment penalties and interest rates.  Check it over carefully before putting pen to paper.

Truth in lending statement: Prior to signing your mortgage contract, you will be given a federal “truth in lending” statement, also known as Regulation Z. This sheet of paper shows your interest rate, annual percentage rate, the amount being financed and the total cost of the loan over its life. You definitely should give this document a close look to make sure there are no surprises.

Mortgage or deed of trust: This is another big step. When you sign this document, you are putting your new home up as security for the debt you now owe. Technically, the lender puts a lien on the property.

Monthly payment letter: This paperwork breaks down your monthly mortgage payment showing how much goes to principal, interest, taxes, insurance and anything else you are paying as part of the payment.

Documents related to your closing

Closing disclosure: This multi-page document replaces the old HUD-1 form. It itemizes the buyer’s and seller’s closing costs separately. By law, you are entitled to get this form three days before your closing meeting and should be in the same format as the Loan Estimate you got after applying for your mortgage. You should have had time to look this over before your meeting, but to err is human.  Review everything carefully before signing.

Warranty deed or title: This piece of paper transfers the title from the seller to the buyer. It also contains the legal description of the property.

Proration papers: These agreements explain how the buyer and seller are dividing up the property taxes, interest and perhaps homeowner association dues for the month in which the transaction is taking place. Buyer and seller might also sign an agreement stating how current utility bills are being split.

Statement of Information: This document may be called a statement of identity. The title company uses this personal information to eliminate any confusion between you and anyone with a similar name.

Declaration of Reports: An acknowledgment that the buyer has seen and signed off on all the inspection and survey reports done on the property.

Abstract of Title: The abstract lists all recorded documents affecting title to the property.

Higman Real Estate Team

Paula Higman 

The Ten Most Commonly Asked Questions in Home Buying

Buying a home is thrilling, scary, sometimes weird, often epic, and never dull. You're ponying up a huge wad of cash for a place you'll inhabit hopefully for years to come. As such, you're bound to have a lot of questions throughout every step of the process. 

What home can I afford?

That depends, of course—on your income and other financial obligations.

If you see houses you love outside your price range, it opens you up to disappointment, Meet with a lender to get pre-approved for a home loan (added bonus: pre-approval makes you much more attractive to sellers).

Can I buy a home and sell my current one at the same time?

Yes, you can—but it's the real estate equivalent of walking a tightrope. 

On the one hand, if you buy a home before you sell the one you're in, you're overextended financially; if you sell before you buy, you might need to rent awhile before finding a new place. But there are ways to do both at once, and one option is to instate a “sale contingency" in your contract. This means you only agree to buy a home if you can sell the one you're in. The only downside is if your seller doesn't agree.

How many homes should I see before making an offer?

Up to you, my Friend! While home shoppers these days can look at hundreds of homes online, they only hoof it to check out 10 homes on average before they put in an offer. But keep in mind, This varies tremendously for each person.  Some people find their home within hours of hunting. For others, it takes months." If you want to streamline the process, it can help to really hone in on a particular neighborhood you are really interested in.

What do you think the seller will accept as a fair price?

As a rule of thumb, I tell my clients i know without a doubt they will accept a full offer. If it's been sitting on the market for months, you can venture below that, but the bottom line is, You never know how low a seller will go, as they have different motivations for selling. If the sellers are eager to move, you could luck out and score a deal.

How do I know if the property is a good deal?

While there's no crystal ball on whether a certain home is a bargain and will appreciate, rest assured that with research, you can keep surprises to a minimum. The best way is to check out comps—what similar properties are selling for in the area - and whether those prices have been going up or down in the recent past.

How quickly can I close?

Typical escrow periods are 30 to 45 days and founder of 10MinRealty. This gives you enough time to do the investigation on the property and get a loan completed.    And yes, this due diligence counts.

Should I get a home inspection?

While buyers often wonder if a home inspection is truly necessary, most Realtors unequivocally say yes, yes, and yes.   A home inspector takes a weight off of your shoulders by looking into the condition of the roof, electricity, heating and air, plumbing.  Ensuring these things work prevents you from paying to fix them in the future. If some things are not up to par, you can negotiate with the seller to get those fixed before you sign the paperwork.

When can I back out if I change my mind?

While buyers can always back out of a deal, doing so without good reason may forfeit their earnest money (the cash put down to secure the offer, typically around 1%-2% of the home's price). But there are some ways to walk with your earnest money in hand.

Contingencies are great loopholes.  For example, upon an unsatisfactory home inspection, the buyer can ask for their deposit back. Another loophole is 'subject to appraisal'.  That means you can back out if the lender for your loan doesn't think the property is worth what you offered.

How to Prepare Yourself to Buy a Home This Year

Buying a home is a huge investment. Before you jump into the wonderful world of homeownership make sure you are prepared with these six steps. Learn about credit score requirements, mortgage options and other must-do’s.

6 simple steps to buying a house

1. Strengthen your credit score.
2. Figure out what you can afford.
3. Save for down payment, closing costs.
4. Build a healthy savings account.
5. Get preapproved for a mortgage.
6. Buy a house you like.

Higman Real Estate Team

FALL IS UPON US 2017

It is always the right time to Buy a home in Park City!

The fall colors are upon us here the mountains-it’s crazy how quickly they changed!

This is a busy season for home buyers on the search for the perfect home each day, weighing and sorting, all their options in the area.  Throw in hiking and fabulous dinners and it makes for a pretty full week for our clients!


The air is becoming crisp and the leaves are starting to change. It is a very special time in Park City, Utah. Kids are back to school, soccer games and community events are in full force. Hot Air Balloon Rides, fly fishing, farmers market, afternoon at the spa, scenic drive, High West Distillery in Wanship, Explore town on an electric bike, are some of the best things that Park City has to offer this time of the year. Nothing better than the hustle and bustle of Park City, Utah in the Fall.









Higman Real Estate Team

Are You Talking Your Prospects to Death: Telling vs Selling

1. Become a true problem solver......

Figure out what solution(s) your product or service provides for the customer.

• Make a list so that so that you have something to reference.
• Ask current satisfied customers what problems your product or service has solved for them and add what they say to your list.
• Ask prospects what solutions using a product or service like yours would provide for them, add those to the list as well.

2. Ask questions.........

When you are talking during the sales process, asking questions should be the main reason. Come up with a comprehensive list of questions for prospects that will help you to immediately identify what solutions you can provide. Do not assume that every customer uses a particular product or service for the same reasons.

3. Listen.........

From the very moment that you encounter your prospect or repeat customer, listen to everything that they have to say. Also after asking questions from your comprehensive list listen to the answers so that you can correctly solve their problems. 

It’s better to have the customer walk away with a purchase in hand (no matter how large or small) than to have them walk away empty handed.

4. Focus on the benefits your product or service provides..........

Now that you have listened to your customers problems, you will be able to appropriately provide solutions. When providing those solutions be sure to highlight how your product or service will actually benefit the client, do not just go over all the features —stress the benefits.

5. Close Open the customer...............

Often times when closing a sale, the close becomes the focus as opposed to the actual sell itself. Ultimately, you may get the sell when ‘closing’ but it could be solely because the customer needed the product or service and you had it. Closing does not guarantee that they will be back. When wrapping up a sale I refer to it as ‘opening the customer’. If you have followed the previous steps then you have built rapport, gained an understanding of your customer’s needs, and provided the best solutions your product or service has to offer.

Higman Real Estate Team

Fed signals December rate Increase!

* The Federal Reserve noted the impact of three recent hurricanes, including one that was striking Puerto Rico on Wednesday, but said the storms would weigh on the economy only briefly.


Nearly a decade after the Federal Reserve embarked on an unprecedented effort to shore up the collapsing American economy, the central bank said on Wednesday that it would begin withdrawing some of the trillions of dollars it invested in the wake of the 2008 financial crisis.

The decision, while widely expected, is nevertheless a significant sign that the Fed is confident that economic growth and low unemployment will continue. In other words, the central bank believes that America economy has emerged safely from the crisis.


Higman Real Estate Team

Tips For Choosing A Reliable Home Inspector

1. Get a reference from your real estate agent.

One of the best resources for picking a home inspector should be your Realtor. D

If your agent has been in business for any length of time, they have probably encountered quite a few home inspectors. By observation, your agent can see who does a thorough job and who does not.

An exceptional buyers agent, one who wants the best for their client, will have a couple of home inspectors they know to go through a home with a fine tooth comb. A trustworthy agent will not be worrying about whether 

On the other hand, some excellent home inspectors do not have great delivery when it comes to pointing out issues. I have found that the way problems are communicated can have a dramatic effect on a buyer.

Some of the worst home inspectors while thorough, use scare tactics to make problems sound way worse than they are! Why do they do this? If you don’t buy the home, you’re more than likely going to call them on the next house. Real Estate agents like to call this a two for one. This is the mark of an unprofessional inspector. Yes, there are bad home inspectors just like there are bad real estate agents!

An excellent home inspector will not only be thorough but will take the time to explain the severity of an issue. If the problem they have found is a common one and not something to be genuinely concerned, they should explain this to you. Some of the most common home inspection problems can usually be corrected fairly quickly.

2. Look for a company that is bonded and insured.

Whether you go with a big company or a single inspector working on his or her own, you want to make sure that whoever examines the home is bonded and insured. Finding out about insurance is one of the most important questions to ask when interviewing a home inspection.

Depending on your area, a home inspector may be able to conduct business without insurance. The problem with uninsured home inspectors is that they may try to hold you or the homeowner liable if they are injured during the inspection. 

Climbing in attics and wandering through basements and crawl spaces does carry a certain amount of risk, which is why reputable home inspectors carry insurance. If the basement steps are rotten and the inspector falls and breaks a leg, you don’t want to have to worry about being sued. If the inspector is not bonded or insured, I would cross them off your list immediately.

3. Verify that the inspection company only does inspections – not home repairs and renovations

Hiring someone that just does inspections is an important tip for finding the right home inspector! Home inspection companies that sell other services – such as roofing, plumbing, kitchen and bathroom renovations, etc. – have a conflict of interest. The fact that they sell repair and renovation services means they are more likely to see problems where there aren’t any.

You want an objective opinion on the state of the house, not a soft sell on renovation or repair services. Of course, the company may do an excellent job of separating its inspection and repair services. Unfortunately, there is no way for you to know if you will be encouraged to make unnecessary repairs until you hire and pay for the inspection.

Choose a home inspection company that’s focused solely on inspections. If you are interested in the cost of repairs or renovations, bring in a contractor after the inspection is over.

4. Find out what the inspection includes and how long it takes.

The best home inspection will be a thorough one, where the inspector goes over every little detail of the home. You want an inspection that looks at every component of the home, including:

• The plumbing system.
• The electrical system.
• The structural condition.
• The heating and air conditioning systems.
• The basement and foundation.
• The roof and attic.
• Evidence of water penetration or grading issues.
• Pests such as bugs and wildlife.
• Environmental issues such as mold, radon, asbestos and lead paint.
• Appliances and other general components of the home.

Knowing what an inspector will look at also allows you to shop around and compare services. Some inspectors may only focus on the structure itself and nothing more. Just know going in exactly what you are getting.

Most home inspections should take two to three hours to complete. If you are purchasing a larger home, a fixer-upper or an older home, the inspection will more than likely take even longer. Don’t hire someone who tells you they will complete the inspection within an hour or two. It is unlikely the inspector will be able to do a thorough job in that limited time span.

5. Get references.

It is always worthwhile to ask for references when you are hiring a service, and home inspectors are no exception. Ideally, you want to get new references from at least a few different clients. You can ask each customer about his or her experience with the inspection company. Did the inspector seem knowledgeable? Did he or she turn up on time? Was the report comprehensive and relatively easy to understand?

While references are excellent, keep in mind that the inspection company probably gave you contact information for the most satisfied customers. That is why it’s helpful to get multiple references. The more people you talk to, the clearer a picture you will have about the company’s work. Just like picking a real estate agent is important, so is your inspector.

6. Verify that you can accompany the inspector while he or she goes through the home.

While you are not required to go along for the inspection, it is in your interest to do so. The home inspector can explain all the different things he or she is looking for, and give you valuable insight into the state of the home. If you do choose to purchase the home, your trip with the home inspector will give you a chance to see where everything is in your new home and will allow you to take note of any areas that may give you trouble in the future – even if they are not major issues right now.

Also, a great home inspector will also go over general maintenance of the major components in the home. While their primary function is discovering significant structural and mechanical defects, a home inspector can be a fantastic resource for educating you on how a home should work properly.

Hopefully, your real estate agent can go along with you on the inspection as well. Having your agent there ensures that you get all the information you need about the state of the home. The best real estate agents attend home inspections for their client’s benefit. When it comes time to negotiate any issues the home inspector discovers, it is awfully difficult to do well if the agent was not there to see them. Lots of agents make excuses on why they don’t attend inspections. Don’t fall for one of their lame reasons.

Part of your Realtors job is to be a consultant. When it comes time for negotiating with the seller you will need to know what are reasonable home inspection repair requests and what are not. Real Estate agents who do their job well are there for you every step of the way!

7. Request a sample inspection report.

Home inspection reports can come in a lot of different formats, from walls of text to colorful reports with photographs. You will have an easier time reading the report if it is designed to be accessible. Any inspection company you are considering should be able to send you a sample report so you can see if the format works for you.

I would highly recommend selecting a home inspector who provides color photography of the issues they find. When it comes to home inspections, a picture is worth having. The link above shows the type of inspection report you should be looking for. Notice the vivid photos showing the issues accompanied by a description of the problem. Please note – I do not know Home Gauge as they are not in my market. This type of report, however, is what you should be looking for.

When communicating issues to the seller having pictures makes things so much easier. Sometimes it is tough for laymen to discern problems without being able to see exactly what the inspector is referencing.

8. Compare the cost of hiring different companies.

No one wants to pay more than they have to for a home inspection, so it makes sense to shop around. However, you need to make sure you are making an apples to apples comparison. When you are looking at different companies, get a relatively detailed description of what each company does during an inspection.

A more thorough inspection is worth paying more for. So is a company with better references, or one with experience in a specialized area you need. There is nothing wrong with trying to save money, but make certain you are hiring someone you can rely on to do a good job.

On average you can expect a general home inspection to cost anywhere from $400 to $800 dollars depending on the area in which you live. Expect to add more to the cost for testing of things such as radon, mold, lead and water. In the Park City & Heber City area where I am located, you can expect to pay between $500-$600 for a home inspection.

9. See if you can find an inspector with experience in the type of home you are looking at.

If you are looking at historic homes or any type of specialty home, try to find an inspector with some experience in the type of home you are buying. The construction of older homes can vary by region and by style, so there may be some common issues that the average inspector may miss. Newly constructed homes may also be built using materials and techniques new to the market, so it can be helpful having an inspector familiar with new construction for such homes.

10. Choose an ASHI certified or InterNACHI inspector.

ASHI stands for American Society of Home inspectors. An ASHI certified inspector is required to follow a strict code of ethics. When you choose ASHI inspector, you’ll be working with someone who has passed rigorous technical examinations. In order for an inspector to get ASHI certified they must perform more than 250 professional inspections. It is essentially just another level of qualifications. This is not to say there are not some fantastic home inspectors who are not ASHI certified. It is just another level of confidence when one has this designation.

The International Association of Certified Home Inspectors or InterNACHI for short, is another exceptional organization. An InterNACHI certified inspector is required to follow a strict code of ethics. When you choose an InterNACHI inspector, you will be working with someone who has completed numerous inspection courses and technical examinations. These inspectors are also required to complete 24 hours of continuing education per year. InterNACHI is the largest inspection trade association in North America. You can learn more by visiting their website at InterNACHI. Read about what makes InterNACHI so special! Many states also have statewide associations, which can be acceptable alternatives. Reputable home inspectors are typically members of one of these organizations:

Make Your Bedroom Look Expensive

1. Remove things instead of adding them

You don’t have to fill your bedroom with things to make it look luxurious. Incorporate a mix of textures and finishes. Contrast is always good.

Decluttering is tough,  we're probably not the only ones who hide all our junk in the bedroom, where only we have to see it. But one way you can keep clutter from cheapening your space is to choose storage pieces that pull double duty.

2. Use mirrors

An oversized mirror is a splurge that can visually anchor as well as expand a space, Especially if your bedroom has 8-foot ceilings, leaning a 5-foot or taller floor mirror in a corner will add a strong vertical line as well, which is always helpful in a lower-ceilinged space.

If you're crafty,  Buy a mirror cut to your specifications at a glass shop, and then purchase lengths of molding from a lumber or specialty store.

Simple mitering with a handsaw, glue, and frame fasteners are all that's needed. Then finish in a rich stain, metallic, or embellish with some luxurious vintage lace.

3. Layer your lighting

For a pulled-together, anchored space, choose a variety of lighting sources. Start with a large, attention-grabbing overhead fixture, which will "instantly make a bedroom or bathroom feel more expensive," But don't stop there: Add sconces, task or table lighting, and floor lamps throughout the room to create a soft, layered look.

4. Add brass accents

Brass, that decor staple from the 1970s and '80s, is back in a big way, instant pizzazz to a space.

Adding a few touches will give warmth, sparkle, and elegance to the room.

5. Layer your bedding

Resist the urge to buy the "bed-in-a-box" matched set, and select your linens carefully, Bogdan says. Choose a mix of quality sheets, duvets, and quilts to make your bed look (and feel) plush, inviting, and opulent."A space that looks high-end has beloved things that have been acquired over time," she says. "Invest in really good linens, like French linen sheets, with their casual elegance, or Egyptian cotton with a simple finish."Ramin recommends adding faux fur, silk pillows, or an embroidered coverlet for more texture. To complete the layered look, consider folding a fluffy comforter at the foot of the bed (laid over your regular duvet cover), says Lowengart.And above all, don't forget about the pillows—cheap, flat ones look, well, cheap and flat."Good pillows hold their loft," Bogdan says. "They don’t just look better, they feel better when you sleep on them."

6. Upgrade your headboard

If a new bed frame isn't in your budget, consider springing for a new headboard instead. It's one of those small things that will make a huge difference in the look and feel of your space.

For most people, the bed is the focal point. 

And you don’t have to have a huge sleigh bed or elaborate poster bed for the 'wow' factor. You can get an upholstered headboard for $300 that will transform a plain-Jane metal bed frame into a gorgeous, modern bed.

7. Paint your ceiling

Love a pop of color but afraid to fully commit? "This will add depth to your room without overwhelming it," she says.

Pros recommend painting the ceiling in a color at least one shade lighter than the walls and using high-gloss paint to reflect light.

Purchasing your new home!

 Infinitely more money, thought, and prep work go into acquiring real estate—and given that it's not a purchase you make often, it's understandable if you might not be adept at wheeling and dealing.

But guess what? There is someone who can show you the ropes well within reach: your real estate agent! Odds are, you've hired an agent to help guide you through the home-buying process. But even then, there might be things you end up doing that make your agent sigh deeply—and get a strong urge to sit you down and say, "Listen, here's the deal!"

Curious about what those things are? 

1. Know what you can afford before you start looking

Finding the perfect home would be a snap if money weren't an issue, but let's get real. For most people, money doesn't grow on azaleas, which means their finances must be taken into account. So don’t waste your time shopping for real estate before you know what price range you can afford; that's like shopping on Rodeo Drive on minimum wage.

One easy way to get your bearings is to type your income, savings, and other details into a home affordability calculator. Better yet, get a mortgage pre-approval letter; the process involves a lender checking out your finances and determining how much it's willing to loan you for a home.

2. Don’t call the listing agent

In case you didn't know, buyers generally have their own agent, and sellers have theirs. And ideally, it's the buyer's agent and listing agent who interact with each other, conveying their clients' questions and concerns to see if a deal can be done.

As such, when you do an end run and contact a listing agent directly, this seemingly innocent move can cause a whole ton of trouble.

“When you call the listing agent directly, you basically imply that you don’t trust your agent and that you and your agent don't have a strong working relationship," says Shane Lee, statistical data analyst at RealtyHop. "These two things will impede the negotiation. You basically give your power away to the seller’s agent.”

3. Please stop talking around other agents

Another time buyers often put their foot in their mouth is during showings and open houses. Since the listing agent may be present, this is a time when loose lips can sink real estate deals.

You might say things you are not supposed to say, such as how many houses you’ve checked out, how much you like or dislike the house, and, worst of all, how much you can afford or are willing to spend on it.

Sharing such info is akin to tipping your cards while playing poker: It gives the home sellers a whole lot of info they can use as leverage during negotiations.

4. You don't have to see every house in a 100-mile radius

If you have an agent truly working for you, you won't be looking at tons of places.Your agent will screen properties for you and make sure you're only looking at the ones that fit your needs. So if the first home you see is the one, that's OK, your agent did her job.

5. Don't let the commitment give you cold feet

Sure, buying a house is a big commitment. Yes, it's scary, and your mind might race with all sorts of worse-case scenarios. What if you make an offer on a house, and that very day another house—even more perfect for you—crosses your path? Or, what if you move into a house you're happy with, then a layoff leaves you unable to pay your mortgage? Sure, these are all possibilities, albeit slim. But don't let them get in the way of making this important move. Remember, you can always sell a house later on; this need not be a death-do-you-part endeavor.

Higman Real Estate Team