Making an Offer
Here's what you need to understand about making an offer.
When you have found the house that meets your needs and maybe even realizes your
dreams, you'll probably find yourself getting emotionally involved. Maybe you'll
imagine moving your furniture in, planting flowers, or hosting your first big holiday
party. The trick is not to get too attached prematurely. There are a number of steps
you must take before you're holding the keys in your hand, and you need to think
clearly and objectively at this point so that the offer you make is a realistic
Determining what you should offer. There are a number of factors
that will affect the offer you make. You can rely on your Weichert Sales Associate
to help you determine a home's value relative to others in the area. Together, you'll
also consider the condition of the home, the demand for homes like it, how long
it's been on the market and, of course, how much you really want it.
Think twice before you make a "low ball," offer. It will elicit a counteroffer from
some sellers, but others may dismiss your bid outright. Your Sales Associate will
advise you on ways to make your offer more attractive: for instance, a mortgage
credit approval and flexibility on the closing\settlement can ultimately close the
Rest assured that your Weichert Sales Associate is a neighborhood
specialist, well trained in the techniques of negotiation. After helping you think
through the issues to determine the best offer for you to make at the time, your
Sales Associate is well qualified to negotiate on your behalf with your best interests
Written offer with deposit. Your Sales Associate will strengthen
your written offer by presenting it personally and describing your case to the seller
in person. To show that your intentions are serious, it is customary to submit the
offer with a deposit. If your offer is accepted, your deposit is placed in a trust
account. If not, your deposit will be returned to you.
If the seller counteroffers, you may agree to that price and terms, or make your
own counteroffer. Once you and the seller agree, both sides initial the final price
and terms shown on the agreement of sale.
The final contract will specify the items in the home included or excluded in the
sale, as well as any additional provisions either side wants to have as part of
the contract. End dates for contingencies, such as for obtaining financing, are
also filled in before the contract is signed.
Additional deposit. Depending upon the price of the home and the
size of your down payment, the contract may specify a date when additional monies
would be placed into the trust account. At this time, the mortgage company or your
attorney will order a title search and insurance.
Mortgage contingency. Unless you are an all-cash buyer, as part
of your sales contract, you generally will agree to obtain financing within a specified
period. This period may be extended with the seller's agreement. If you are unable
to secure financing, the contract becomes null and void.