Buying a Starter Home

3 Critical Parts Of A Purchase Offer For A House

13 August 2020

Capucine Leroux

Are you shopping for a single-family home for sale in your area? Most people hire real estate agents when doing this, primarily because buying a house is a challenging process. First, you need to find a home to buy. After that, you must write a contract, negotiate, and work on the closing process. Your agent can assist with these steps, including writing an offer. As you write the offer, your agent will explain the three critical parts of a purchase offer.

1. The Home's Basic Details

The first thing a purchase offer should always have is the home's basic details. Every home is unique and distinct from other properties. A home has an address and legal description, and these are the things that reveal the house you want to buy. When you write an offer, you must include these facts. By doing so, there will be no issues or questions about the house you want to buy. The facts will be clear, and you can avoid issues later.

Additionally, you will need to include the details about yourself. Your details include your name, address, and agent.

2. The Price You Offer for the Property

The next critical part of a purchase offer is the price. The price you offer is something you should consider before writing the offer. You can offer to pay the full price of a home if you wish, or you can offer less than the asking price. Your agent will help you determine the best offer price to make, and agents help with this by analyzing the home's current value.

3. The Contingencies

The last critical part of a home purchase contract is the contingencies. This part of a purchase offer is essential, as the contingencies let you make conditions and requests as part of the offer. A contingency allows you to protect yourself in the deal. For example, you can state that the deal is contingent upon the appraisal. If the appraisal reveals that the value is less than you offered, you can void the contract. Your agent might suggest adding several contingencies to the contract. Some might be standard, while others might be more specific for the house you want to buy.

Your agent might recommend including additional details in the purchase offer. It is always better to be more specific with all the details, rather than offer vague information. If you have questions, talk to a real estate agent today.

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