The Process of Buying Your Home
Step Number 5: Making an Offer on a Home
Once you have found the “right home”, it’s time to make an offer. Ryan will help you decide on the price, terms, and contingencies. You can’t rely solely on the list price of the home. Ryan will use data available on the MLS to look at homes in the area that are active, sold, and expired as well as those with similar features to determine what the home is worth. Keep in mind, if the home is under priced to encourage multiple offers, or if there is a lot of competition for the home, you may need to offer more than the listed price for your offer to be accepted. Ryan will guide you in this decision.
Once we have written up the offer and you have signed it, Ryan will present it to the listing agent (who will then present it to the seller). You will need to include a copy of the earnest money check with the offer. Earnest money is a deposit that is made on a property that shows the buyer is serious about purchasing a property. The earnest money is held in a trust account until the closing date when it is then applied toward the buyer’s down payment. If the transaction cancels/falls through, it is possible that you, the buyer, could lose the earnest money deposit. Typically, the party not responsible for cancelling the offer will be awarded the deposit. This is one of those times when having an experienced agent/team can really make a difference. We watch the contingency deadlines closely so that if the contract needs to be cancelled, it is done before the appropriate deadline resulting in a refund to the buyer.
The seller may accept the offer as written or come back with a counteroffer, changing the price and/or terms. Ryan has extensive knowledge and experience in negotiating offers and will negotiate your terms (on your behalf) with the listing agent (seller). The offer becomes a legally binding contract/purchase agreement on the date and time that the last party signs (once the seller accepts/signs the offer, or both you and the seller have accepted/signed the last/final counteroffer) and then delivers the signed contract to the other party. This is known as the Final Acceptance Date.
Once you are under contract, you will need to mail/deliver the earnest money to the listing agent. We will begin coordinating your entire contract-to-close process. We facilitate and coordinate the work of all the professionals involved in your purchase (listing agent, lender, inspectors, appraiser, contractors/builders, title companies…). It is important to stay in contact with your lender and furnish them with all requested items in a timely manner. We will take care of the paperwork and deadlines, solve problems that arise, and let you know when something is needed from you. This results in a smooth, hassle-free transaction for you, our “Platinum” client.