What is an offer? What documents are included in an offer? What are the things should be consider first in presenting an offer to the buyer?
On the latter part of this blog, you will determine what are the basic components of a good offer that the Seller is looking for. An offer is a document that also serves a the binding sales contract of the both parties known in other areas as Purchase Agreement.
Buying a home or property is really challenging decision to make. You will surely put effort and time in choosing a best property and best deal when buying your dream home. In a real estate procedure or transaction, the buyer will present an offer to the seller.
There are five best components of an offer for it to be consider a good one or easy to accept – offer.
- An Offer With The Best Price
Price is one of the most important components of an offer. The Seller will surely entertain the offer from the buyer if it has a reasonable offer price that within the listing amount or could be higher depending on the listed property if it has multiple offers. Offer price should be based on the price value of the property itself. This can be done by hiring an appraiser or double checking the market value of the property based on its location.
- An offer with a Good Earnest Money Deposit
Earnest Money Deposit is the deposit given by a buyer to a seller to show that the buyer is opts to buy the property. Earnest money usually is refundable to homebuyers in the event a contingency of the sales contract cannot be met. A good EMD shows also good standing of the buyers decision to buy the property.
- An offer together with Pre approval Letter
An offer with a pre – approval letter from the lender signifies that the buyer has the capability to purchase the property or the home. It also serves as proof of good credit standing of the buyer in getting a property or a home. I f the seller or the sellers agent see that the buyer has already got a pre- approval from the lender; most likely it will be accepted by the seller.
- An Offer With Contingencies And Concessions
This part is particular in requirements that the buyer and the seller must agree on. These part states what are the things are included on the selling of the property such as appliances and other fixtures. Concessions are those special requests by the buyer to the seller.
- Closing and Expiration Date of an Offer
This is important part of a good offer. Wherein, the Seller look on this part. This determines the timeline of the whole transaction. Usually the shorter the closing period the most likely the seller is interested on the offer because this means that there is no waiting time on the part of the Seller.