As the South Florida real estate market continues to heat up, local home buyers are encountering many challenges in the path to home ownership. Securing a mortgage loan has become difficult as lenders tighten their standards, and the rash of foreign investors combined with low inventory has created an interesting environment.
For those looking to sell their homes, the hot market has produced good and bad results. Sellers are unloading their homes in mere days or weeks, even when they include a long list of demands, including 10-20 percent down payments, large deposits in escrow, and quick closings, as well as declining offers with FHA loans and requesting the bypassing of an appraisal, which could potentially bring the sale price down if the appraisal doesn’t match the asking price. Sellers are also getting close to, if not more, than their asking price.