The first question you need to ask yourself about real estate acquisition process is what really is a real estate purchase offer?
It is a document written by the purchaser, on which appears the price offered to the seller for its real estate property.
3 important points to know about it
Although it is often requested by real estate agencies, be aware that it is not mandatory.
It is more credible than a simple verbal proposal.
Please also note that this is a genuine commitment from the buyer.
Most of the people regularly use it as a weapon of negotiation.
How to Negotiate a Real Estate Offer?
No precise rule truly set a real estate offer! But in order for this document to facilitate your transaction, it is advised to include these 10 elements in it:
– both identities of the buyer and seller.
– the location and a detailed description of the property.
– the offered purchase price.
– the period of validity of the offer.
– the terms of the seller’s reply (letter, e-mail, etc…)
– a proposed date for the signing of the sales agreement.
– the general conditions.
– the mode of financing.
– the terms of cancellation of the offer.
– the conditions of withdrawal.
The Withdrawal of an Offer to Purchase a Real Estate Property.
You must send a registered letter with acknowledgement of receipt.
– The seller accepts your offer, you then have 7 days to retract your offer.
– Without any validity mentioned in your offer to purchase, you can retract your offer as long as the seller has not accepted your offer.
– Without the seller’s reply within the time limit indicated in your offer to purchase, you are no more engaged to purchase his property.
– The seller made a written counter proposal, your initial offer is no more valid and you are more engaged to purchase the property.
– One of the general conditions mentioned in the offer did not realize you are therefore no more engaged.
For the seller, this is quite different:
Once they have accepted your offer in writing he cannot disengage himself anymore.
This is the reason why the sale agreement must comply with the offer to purchase the property. That is why the writing of this legal act must be very accurate.
Here is a link to a sample agreement to purchase real estate, hope this will help home buyer.