Making an Offer
Offer to Purchase
You, as the interested buyer, may work with your real estate agent to prepare a preliminary document called "purchase offer" for the seller to consider. An offer to purchase is a written preliminary proposal that states what you are willing to pay for the home, the estimated closing date and certain other terms that you might want included in the contract that the buyer and seller need to agree upon. (An example of this might be the inclusion of the washer and dryer or the settlement date). Remember the terms of the offer may become a part of the actual contract of sale if your offer is accepted and a contract is signed.
The seller may accept your offer to purchase, reject it or make a counter offer. If the seller wants to change any part of the offer, you may receive a counter offer specifying those changes. You have the option to accept the counter offer or you may respond by presenting one of your own.
Contract of Sale
Once you and the seller come to an agreement, a contract of sale is drawn up by the seller's agent. A contract of sale is a legally binding document that sets forth the terms of the home purchase. The contract of sale will include the contents of the offer to purchase, as finally agreed upon by the parties, plus any additional details and terms. If the contract of sale is prepared by a real estate licensee, it must include a provision known as the "attorney review clause", which provides that the buyer and seller have three business days from the date that the completely signed contracts are delivered, to consult with an attorney. During this three-day period, if you choose to use an attorney, he or she may propose revisions to the contract on your behalf or render it null and void.
Your contract should clearly set forth the following terms:
1. The total price you agree to pay;
2. The amount of down payment you will make;
3. Any and all escrowed deposits to date
4. Anything in the house or attachments that you would like to be included such as appliances, drapes, chandeliers, fireplace tools, etc.
5. The amount of time after the offer is accepted you will have to arrange financing;
6. When the transaction will "close" or title will transfer.
7. When you will take possession of the property;
8. Provisions for title searches, and insect, structural inspections.
