Frequently Asked Questions

I’m Sallie Simmons, a full-time Denver REALTOR® with Nostalgic Homes at Compass. Below are crisp, plain-English answers buyers and sellers ask me every week, plus clear next steps. Want numbers for your address or price range? Reach out and I’ll tailor these answers to you.

BUYER FAQS

Is it a good time to buy a home in Denver?
It depends on your payment target, neighborhood, and timeframe. I track inventory, days on market, and seller concessions weekly so you buy when the numbers make sense for you. We’ll model payment versus price scenarios before you tour and adjust as fresh data comes in.

How much do I need for a down payment (3%, 5%, 20%)?
Plenty of buyers purchase with 3–5% down, and some programs allow even less for eligible borrowers. We’ll balance down payment, monthly payment, and appraisal risk so your offer stays competitive without overextending you.

What are typical buyer closing costs in Colorado?
Expect lender fees, title, appraisal, recording, and prepaids or escrows—often around two to four percent of the purchase price for financed loans. I estimate your cash-to-close up front and explore credits when helpful.

How long does it take to buy a home—from offer to keys?
Most financed purchases close in about thirty days; cash purchases can be seven to fourteen. Strong pre-approval, fast inspections, and responsive teams keep you on track.

What is earnest money in Colorado and how much is normal?
Earnest money is a deposit showing good faith, typically one to two percent of the price, credited back to you at closing. Your contract sets when it’s refundable and how it applies after deadlines.

Do I need a pre-approval before touring homes?
Yes—serious sellers require it, and it sets your price and payment guardrails. I’ll connect you with local lenders who underwrite quickly and communicate clearly.

What is an appraisal and what happens if it comes in low?
An appraiser estimates value for the lender using recent sales. If value comes in low, options include renegotiating price, bringing cash, adjusting terms, or using an appraisal-gap clause if we included one. I guide the strategy based on comps and your cash position.

Should I use an appraisal-gap clause in Denver?
Sometimes. We only use it when the comps support it and your cash and comfort level make sense. It can be a powerful tiebreaker in competitive situations.

What inspections are standard in Colorado (general, sewer, radon)?
General home, sewer scope, and radon are common; roof and structural specialists follow findings. We sequence inspections to protect your deadlines and money and negotiate based on high-impact items.

What is an inspection objection and resolution in Colorado?
You object to issues by the deadline; then we negotiate repairs or credits. I focus on safety, systems, and high-cost items so you don’t inherit expensive surprises.

Can I ask the seller for concessions or a rate buydown?
Yes—credits can lower your payment or cash-to-close. We’ll shape the ask to the seller’s priorities so it lands as a win-win.

How much are property taxes in Denver and when are they due?
Taxes are set by the county and typically paid in arrears. Your lender may escrow them with your monthly payment. Exact amounts vary by address based on assessed value, assessment rate, and mill levy. I pull current numbers for your home so you can budget confidently.

Condo vs. townhome in Denver—what’s the real difference (HOA, insurance)?
Condos share more building elements and often require an HO-6 policy for interior finishes and belongings; the master policy covers common areas. Many townhomes have simpler exterior coverage but still carry HOAs with rules and budgets. We review reserves, insurance, and restrictions early to avoid surprises.

What is a backup offer—does it ever work in Denver?
Yes—if the primary deal fails, you’re next without competing again. It’s low-effort leverage in uncertain deals and can save time later.

How many homes should I plan to see before writing an offer?
Most buyers tour five to ten once criteria are clear. I pre-filter options so you see only strong fits for your lifestyle and budget.

Can I buy new construction with my own agent in Colorado?
Absolutely—and you should. The builder’s representative works for the builder; I protect your interests, timelines, and money from contract to final walk-through.

SELLER FAQS

Is it a good time to sell in Denver?
If you price to today’s comps and present well, yes. My plan maximizes exposure fast, then reads feedback to adjust early if needed.

How do you price my home—CMA vs. list-to-sale strategy?
I blend a data-rich CMA with strategy: position to compete, not chase. We model outcomes at multiple price points and pick the one that attracts the right buyers.

What are typical seller closing costs in Colorado?
Expect title fees, commissions, prorated taxes, HOA transfer if any, and any agreed credits or repairs. I deliver a real net sheet up front.

Should I offer concessions or a rate buydown to attract buyers?
Often yes—credits can widen your buyer pool and keep the headline price stronger. We match the incentive to current demand in your price band.

What fixes or prep give the highest ROI before listing?
Clean, paint, lighting, landscaping, and small repairs move the needle most. I provide a punch list and Compass Concierge options where it helps.

How do showings, open houses, and feedback work?
We launch with professional media and easy access. I summarize feedback, traffic, and next steps on a clear cadence so you can make informed decisions quickly.

Are price reductions a red flag, or a strategy in Denver’s market?
They’re a tool when demand or comps shift. I prefer crisp, timely repositioning over slow drips to re-activate interest.

How long does it take to sell—from list to close?
Well-positioned homes often go under contract in one to three weeks, then close in roughly thirty days. Prep, price, and competition set your timeline.

What is Compass Concierge and who qualifies?
Concierge fronts approved prep costs, repaid at closing with no interest. Qualification depends on equity and project scope; I handle the process.

Can I sell and buy at the same time—rent-backs and timing options?
Yes—sell-then-buy, buy-then-sell, rent-backs, or bridge options can all work. We pick the path that protects your finances and sanity.

FINANCING AND STRATEGY

How do temporary vs. permanent rate buydowns work?
A temporary buydown reduces your interest rate for one to three years, then reverts to the note rate. A permanent buydown lowers the rate for the full term by paying points up front. The smarter option depends on expected hold time and cash available now. We’ll model monthly payment, total interest, and breakeven so the choice is clear.

What’s the smartest way to structure offers with credits vs. price cuts?
Credits can reduce payment more than small price drops and can be targeted to closing costs or buydowns. I show side-by-side math so the offer feels better to both sides and supports your goals.

How do I compare lenders, points, and APRs in Colorado?
Shop within the same time window and compare APR, points, and total fees—not just the headline rate. I recommend lenders who close cleanly and communicate well.

Can I qualify with down-payment assistance or special programs?
Possibly. We check state and local options and pair you with a lender who does them often so the process is smooth.

DENVER-SPECIFIC KNOWLEDGE

How are Denver property values assessed and how often do they change?
Counties assess periodically using recent sales and property characteristics. Assessed value isn’t the same as market value, but it drives your tax calculation. If your value looks off, there’s an appeal window; we can review comps and strategy together.

How are property taxes calculated in Denver (mill levy, assessment rate)?
Taxes roughly equal assessed value times the assessment rate times the mill levy. The county reassesses periodically, and taxes are typically paid in arrears. Your lender may escrow payments. I pull the current levy for your address and build a custom net sheet.

Are there transfer taxes or local fees when I buy or sell in Denver?
Colorado doesn’t have a statewide transfer tax. Local fees vary by jurisdiction and HOA. I outline the exact line items for your address before we go under contract.

What should I know about Denver HOAs (budgets, reserves, special assessments)?
Healthy reserves, clean budgets, and adequate insurance matter. We read minutes for pending projects and assess the risk of special assessments. You’ll get a punch list of what to review first so you can proceed confidently.

PROCESS AND LEGAL (COLORADO)

What is the Exclusive Right-to-Buy or Exclusive Right-to-Sell agreement in Colorado?
It defines representation, duties, and timelines so you’re protected. I walk you through every clause and set clear expectations on communication and deadlines.

What’s included in the Colorado purchase contract (key deadlines)?
Key dates include loan, appraisal, inspection, title, and HOA document deadlines. Missing them can shift leverage or cost money. I keep you ahead of every milestone with reminders, summaries, and options at each decision point.

What is title insurance and do I need both owner’s and lender’s policies?
Lenders require a lender policy; an owner policy protects your equity. I generally recommend both for full coverage and peace of mind.

What happens at closing in Colorado—who attends and what do I bring?
Bring a government ID and final funds, which are typically wired. Expect to sign with the title company. Remote and mail-away closings are available if needed.

HOA AND CONDO-TOWNHOME

What documents will I receive in HOA disclosures—and what should I review first?
You’ll receive budgets, reserves, insurance, bylaws or CC&Rs, minutes, and rules. We prioritize financial health, insurance coverage, litigation notes, and upcoming projects. I flag any high-risk items before you pass the objection deadline.

What does condo master insurance cover versus my HO-6 policy?
The master policy covers the building and common elements, while your HO-6 covers interior finishes, improvements, personal belongings, and loss-assessment if included. We align coverage and deductibles with the building’s policy to avoid gaps.

MARKET AND EXPECTATIONS

Why are some Denver homes sitting while prices seem steady?
Inventory mix and pricing strategy. Good homes still move fast; mismatched pricing, presentation, or access tends to lag. We read feedback and the comps to adjust quickly if needed. 

Should I wait for rates to drop or buy or sell now?
We scenario-plan payment now versus later, possible price moves, and rent versus buy. If waiting risks missing lifestyle or timing goals, we can structure credits and buydowns to make today’s numbers work. The right time is when the math and your life line up.

How do seasonal patterns affect Denver real estate (spring vs. fall)?
Spring brings more listings and competition; fall and winter can mean motivated sellers and less bidding. Your best window depends on your price range and neighborhood. We align the launch with how your specific segment behaves.

WORKING WITH ME

How do you market my home beyond the MLS (targeted agent outreach, video, social)?
Professional media, a property site, targeted agent campaigns, paid and organic social, email to active buyer agents, and curated showings—plus Compass network reach. I show examples relevant to your area.

How will you keep me updated during the process?
You get structured updates on showings, feedback, pricing signals, and next steps—always with clear recommendations. Expect fast, direct communication.

Can you help with contractors, staging, and move-out logistics?
Yes. I coordinate vetted pros and manage timelines so you stay sane—from punch lists and staging to cleaning and hauling.

What neighborhoods and price ranges do you specialize in?
Denver-metro single-family, townhomes, and condos with deep experience in Berkeley, Highlands, Sloan’s Lake, Washington Park, and beyond. Tell me your target and I’ll share hyper-local insights.

What questions should I ask when hiring a real estate agent?
Track record, strategy, communication cadence, and negotiation approach. Ask for recent case studies and how they’d handle your exact scenario. I’m happy to answer these transparently.