Congratulations, you got an offer on your home! Now comes the tricky part: navigating the waters between your buyer’s offer and the successful closing of the sale. In between, there will be contract negotiations and numerous other steps. With patience and an eye for detail, you’ll reach the end with a minimum of pain and stress.
Turn An Offer Into A Contract And Close The Deal
Full disclosure. You are required by law to provide information on the structural, environmental and legal status of your home as it might influence a buyer. This information is typically provided on disclosure forms as defined by your state. You’ll need to have your disclosure forms in order before accepting an offer for your home.
Offer review. Once you’ve received an offer on your home, be sure to review it carefully. Pay particular attention to the offer price, any contingencies that will rescind the offer and details of timing like proposed closing date and when the offer expires. The buyer’s offer is your first chance to develop your negotiating strategy and decide on counteroffers if the offer doesn’t match your expectations.
Contingencies. Contingencies protect the buyer, allowing her to walk away or renegotiate if the conditions of the contingency aren’t met. Typical contingencies include requirements for appraisal and inspection, the securing of financing and the completion of repairs that result from a home inspection. Closing and other costs may also be subject to contingency agreements. Any or all of these requirements may be negotiable. A savvy seller may be willing to concede to a contingency as an alternative to lowering the sale price of the home. (more…)