Friday, January 30, 2009

So You're Ready To Make An Offer

You've found "The House" and you're ready to take the leap and make an "offer to purchase". How do I and what is an offer to purchase?

First, an Offer to Purchase is just that, an "offer" it is not a contract (I'll explain in another blog or call/email/comment and I'll help).

There are many parts of an offer, here are the most important:

1. Description and address of the property you wish to buy.
2. The price you which you are prepared to pay (called the consideration by many).
3. Contingencies (See explanation below).
4. Earnest money (money which shows that the buyer, you, are serious about the purchase of
this property).
5. Acceptance/counteroffer signatures.

Here are a list of possible contingencies (things that must occur in order for this to become a contract).

- Financing
- Inspections
- Appraisal
- Sale of prior residence
- Approval by any clubs (condo or co-ops)

The more contingencies you add the greater possibility the seller will reject or counter your offer but, any of these could get you out of your signed contract if they are not met to your satisfaction. I've had a number of clients forgo inspections, but I highly recommend them because this enables you to get out of a money pit of a house or it gives the seller the chance to fix/repair any conditions that are not favorable to you. The cost of these inspections usually rest on your shoulders though, so be prepared.

If you would like me to explain anything above in greater detail call, email, or comment below and I'll get back with you soon.

Don't you just love the Darke County, Ohio weather?

Todd Finch

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