You have just received an offer on your home and want to make sure you get the best possible price and terms. The first thing I will do as a Sellers Agent is to inform everyone who has shown it who may have a Buyer with some interest to let them know that we have received an offer. Sometimes, this prompts another Buyer who may have liked your home but didn’t feel there was a sense of urgency to also move forward…If that does happen and we receive multiple offers I find that usually the original offer is the best and safest to go with assuming both are similar. The Buyer that decides to “come to the table” with an offer first is usually the one that is the most sure and, therefore, the deal tends to stay together even through home inspection issues.
Important things to note when looking at the offer besides the price of course are the “Terms of the Offer”:
- How much money are the Buyers putting down for a deposit? Typically $1000 at the time of the offer and typically 5% of the purchase price minus the $1000 that was already given at the offer at the Purchase & Sales
- Is it a Conventional Loan with 20 percent down? How much are they financing?
- How many days are they allowing for the contingencies which usually include the Home Inspection and Mortgage Contingency (we like to see no more than 7-10 days for the Home Inspection. The Financing or Mortgage Contingency (which is the amount of time it takes for the Buyer to get their loan) is taking longer these days with the average around 30 days for a conforming loan and 45 Days for a jumbo loan from the time of application. I like to see that Buyers have applied for their loan within 7-10 days of the offer.
- When will the Purchase & Sale be signed? It makes sense to keep the window between the Home Inspection Contingency and signing of the Purchase & Sale as close as possible. I find that usually 3 business days after the Home Inspection Contingency has passed is enough time for the Attorneys to draft the document.
- Are there any inclusions the Buyers would like that you didn’t plan on such as your Washer and Dryer for example or closing costs?
- Last but not least, does the closing date work for you?
I carefully go through the offer with my Seller to make sure that all is in their best interest and that they understand the terms. As I stated earlier it is important to read and make sure you understand the offer so there are no surprises down the road!
Contact Rachel Bodner of Coldwell Banker to learn more about how she can help you to sell your Home and obtain top $!