Have you ever been nerve-wracked watching people walk through your property? Are you trying to figure out when a buyer is interested and what to expect from someone who makes an offer? Most homeowners who are serious will be thinking of making an offer, but they won’t necessarily leap up and make a bid immediately.
Related: What to Look for in Your Homebuying Contract
Unfortunately, there's no way to know exactly what to expect from a request. Generally, though, when buyers make an offer, they're interested in details about the home, as well as the certain conditions to close the sale. Below are a few things that buyers may ask for:
They Know What They Want
A serious buyer will do their homework and know what they want. They'll understand the area, see the neighborhood and compare recent sales for this area. This type of buyer will make the offer as soon as possible, because they don’t want to miss out.
Who Presents an Offer
Once a buyer decides to make an offer, they will contact their real estate agent and draw up a contract. These documents will meet regulations for the state in which the property is located. The contract will specify the price, and any terms and conditions that you and the seller have agreed to. So, if you decide to help with closing costs, the amount will be stipulated here.
What's Included in the Offer
If you accept the offer, it'll become a binding contract or a purchase agreement, so be sure that the offer has every aspect you discussed. It should contain:
- The address of the property
- The sale price
- The terms of the sales
- The commitment of having a clear title
- A date for closing
- A method in which utilities and taxes will be prorated and adjusted
- A provision where the buyer can make a last inspection before closing
- Any contingencies
Contingencies
The buyer may make certain contingencies. This means that the sale is dependent on certain events, such as having your roofing inspected. Damaged roofing can often be a deal-breaker, so it's best to have your property’s roof inspected and repaired by a professional before you list your property. The most common contingencies are financing and home inspection.
Earnest Money
If the buyer places a deposit with his offer on the house, it shows good faith. Usually, an attorney or agent holds the deposit as a part of the down payment.
Binding Agreement
If, after receiving a written offer, you sign and accept it as it stands, the offer becomes a contract and you are notified of the acceptance of the buyer. If the buyer rejects your counteroffer, that's the negotiation's end.
You can accept, reject or make a counteroffer to any offer a potential buyer makes before you sign its acceptance. It's important to determine buyer expectations so that you will be able to respond to offers accordingly.
Brooke Chaplan is a freelance writer and blogger based in New Mexico. Her first passion is journalism, but she also loves hiking and gardening. Chaplan recommends having your roofing serviced by an experienced professional. Find her on writer and Facebook: @BrookeChaplan; https://www.facebook.com/brooke.chaplan
