Five (5) Parts to an Offer 2018
How to Secure the House that You Want for the
“Best Possible Price & Terms!”
***The Market is Changing to Favor Sellers!***
In my opinion there are Five (5) Parts to every
Offer:
1. The Offering Price (plus
Closing Costs)
a. This is first and foremost,
but by no means the only part
b. Closing Costs are typically 2-3%
2. Earnest Money Deposit (EMD) we
recommend 2-3%
a. You will submit a copy of the
EMD Check with the offer, so please bring your check book!
b. The EMD is your money and it can
be part of your Down Payment
3. Lender Letter or Proof of
Assets ***Buyer Love Letter***
a. The Lender Letter should
reflect the Offering Price
b. All Cash Offers will need a Proof
of Assets Letter from the Bank
4. Contingencies Typically there
are Three (3) ***Except
Multiple Offers***
a. Home/Radon Inspection
Contingency 7-10 days
b. Financing Contingency 21-28
days depends on your Lender
c. Appraisal Contingency 21-28
days again depends on your Lender. If the house does Not Appraise, Three
outcomes can occur:
i. The Buyer can add the extra cash above the appraised value
ii. The Seller can lower the price to meet the appraised value
iii. The Buyer and Seller can negotiate a price in the middle
(If all
parties cannot agree then the property goes back on the market. Seller is now looking
for a new buyer and the buyer is looking for a new property)
5. Settlement Date shorter is
usually better (trade time for money)
a. Buyer wants to know
"When do I get the house?"
b. Seller wants to know
"When do I get the money?"
The highest price may not always win the sale
of the home. It depends on all 5 parts of the offer. I work with Buyers to build
the strongest possible offer and with Sellers to evaluate offers on their asset.
I am a Professional Realtor Assisting Buyers
and Sellers in their transactions to secure the “Best Possible Price &Terms!”
Please let me know if you have any questions or
concerns.
Thank you and I look forward to working with
you.
No comments:
Post a Comment