How to Make an Offer During the Home-Buying Process
Here’s our sixth episode on the home-buying process: Making an offer.
Welcome to our series where we take you step by step through the home-buying process. Today, we’ll go over step six: Making an offer.
So you’ve looked at some homes and one really stands out as a home you can see yourself living in. Now is the time to make an offer. An offer is half of a legal contract. We’re going to take a standard contract for whichever state you live in, and we’re going to fill out your terms for purchasing the home.
These terms will definitely include the price, but it also probably includes the closing date, the type of financing, closing costs, and all the other terms you need to purchase the home. This written offer is typically sent to the seller’s agent. Once they receive it, they’ll have a similar conversation to the one you just had with your agent. They’ll go over the terms and decide if they want to reject, accept, or issue a counteroffer.
Maybe by conceding on one issue you can get what you want on something more important.
A counteroffer is the most common response. In this situation, the seller’s agent will reach out to your agent and negotiate terms. Maybe they want you to pay a higher price, move the closing date, and pay for all the closing costs. From here, you would have to decide what you want to accept and what you want to push back on. It’s important to remember that it’s not always just about price. Maybe by conceding on one issue you can get what you want on something more important.
Once both parties have come to an agreement, you have a legally binding contract. This is where stuff like home inspection and loan application comes into play, but that will be covered in a future episode.
If you are negotiating a contract and want the best deal you can get, do not hesitate to reach out to me. I have plenty of experience negotiating contracts, and I am always willing to help.