Once you have visited a range of properties and have decided on one you are interested in, it is time to make an offer. Your salesperson will help you prepare a written offer. There are many factors that may influence the amount you would offer for a home, such as how much you can afford, how motivated you think the seller is, and if there are any other offers on the property.
In addition to the amount you are offering, your written offer will also detail any conditions you would like the seller to meet. Common conditions may include a successful home inspection or water tests, setting a closing date, the sale of your current home, requesting that large appliances be included in the sale, etc. The seller may choose to accept, reject, or make a counter offer. If they make a counter offer, then it is your turn to accept, reject or counter. This process will continue until you come to an agreement on the offer. Once these conditions have been met, the offer becomes legally binding.
Usually, once your offer is accepted, you pay a deposit. This deposit amount will be included in the agreement and funds will be provided to the seller’s agent to be held in trust until the sale closes. Once the sale closes, the deposit will be applied towards to the purchase price of the property. It is important that you understand the conditions of your offer, and who is entitled to keep the deposit if the sale does not move forward as expected.
Once you have made an offer on a home, things can move very quickly and it may feel a little scary or overwhelming! Try to stay calm and be sure you have a clear understanding of the process for closing your home including your responsibilities, the fees and costs involved, and timeline.