O for Offer

In Buyers by Doug Phelps

Making an offer on a house is no small task. After all, it’s one of the biggest purchases you’ll ever make. But don’t let this scare you. Your real estate agent will be happy to guide you through the process.

Still, it’s good to know what the offer entails. You’re offer not only tells the seller what you’re willing to pay, but also how you’re going to pay for it. Your offer will also include an expiration date, as well as a way to get out of the sale if you find out something that is a deal breaker. Here’s a breakdown of all the elements that go into the offer.

The Price

You know what the seller is asking for the price of the home. The offer is the opportunity for you to let them know what you are willing to pay.

 If the market’s hot, and the house just came up, you may choose to offer more than what the seller was asking. If the house has been on the market for a while and things appear to be cooling off, maybe you offer less than asking. Your real estate agent will look at the right comparable properties and help you figure out exactly what you want to offer.

The Deadline

You’ll get to set a deadline for when your offer must be accepted. This can range from hours to days, depending on how competitive the housing market is. Again, your real estate agent will help you decide. Your offer will also include a closing date for when you want the house to be yours.

The Money Part

You’ll not just be proposing a price in your offer, you’ll also explain how you’re going to pay. You’ll likely be asked to write a good faith“earnest money” check or money order. If the seller accepts your offer, the check will go into an escrow account and be used toward your down payment. 

Your Escape Plan

Your offer is not a done deal. Contingencies will allow you the opportunity to terminate the deal if something goes wrong, like if there are issues with the inspection and or you are unable to secure a loan. This should give you some added security when you submit your offer.

If you would like to make an offer on a property I would love to help you through the process, please contact me at Dougmovesyou.com