The process of buying a home has become slightly more complex in the past year. Granted there are still some straight forward transactions out there. Those are the ones which offer the most appeal and you are able to negotiate directly without long waits and bureaucratic red tape.  

Presenting a good clean offer, that is likely to be accepted is a relatively easy process. But who's advice is good advice?  Your Realtor®, your banker? Your significant other? Your family or friends?  Or a combination of all of them-each with pen in hand making "corrections" along the way or after the fact?

"NO HOUSE FOR YOU"  A while back a gentleman was attempting to purchase a rather large home for a rather low price.  There were not many that fit his special spacial needs and his budget.  After a long diligent search we finally located one that he really liked. We talked at length about the offer he wished to make and one was written up and faxed to him to sign.  Simple enough right?  Maybe not...

Two days later, the offer is faxed back to his Buyer's Agent, and handwritten in various spaces  were alterations to original document.  Suddenly we had an offer that had absolutely no possibility of being accepted. The purchase price had been reduced, the Maximum repairs had been added, Replacement costs were set at the maximum allowable limit, and the closing date had been pushed back by 2 months in additiona he asked for a closing cost contribution from the seller.

He had a "friend" who was an out of area Real Estate Broker- looking out for his "best interest".

In the Special Section of Rider's and Addenda, there was a handwritten notation. THIS IS THE BEST OFFER.

It took the listing agent less than fifteen minutes to send the Buyer's Agent the following Email.

"Your offer was far inferior to the many offers we have received on this Property.

 Thank you for indicating it was your "best Offer", as such it has been rejected by the seller."

The following day, the house went to pending and was sold in less than 30 days for above asking price.

His friend assured him "there would be others".  Unfortunately, in the buyers price range...his friend was mistaken. 

The man was horribly disappointed with the outcome.

He never did get a home.

THERE IS A TIME FOR TALKING AND A TIME FOR WRITING

Prior to writing the offer, is the time to talk to your Real Estate Professional.  They should explain to you the various aspects of the Purchase Agreement, and discuss with you how to fortify your offer.  A good solid offer allows for dialog and a meeting of the minds. 

This is best done face to face. In certain circumstances it is not possible to do that (in cases of out of State buyers or sellers) A telephone conference can accomplish the same thing.

 Buyers  or Sellers who are serious about buying a home, or selling one, will want to make well informed decisions on several factors.

 Purchase Price

Terms and Conditions (such as a Home Inspection, financing approval and appraisal)

Closing Date and Escrow Deposit Amount as well as where the Escrow will be held until closing.

LETTERS OF PRE-APPROVAL WITH CONDITIONS.

SOME LENDERS HAVE CERTAIN REQUIREMENTS WHICH MUST BE MEANT TO SATISFY THE LOAN COMITMENT THEY CAN BE ATTACHED TO THE OFFER TO PROTECT THE BUYER.  By attaching the conditions of the Pre-Approval to the Purchase Agreement, it can become part  of the Purchase Agreement. Often these will protect the buyer as well as the Lender. 

BE REASONABLE IN YOUR EXPECTATIONS

Negotiations involve a little give and take on both sides.  The goal is to reach an agreement that is fair to both parties and ends in a successful transaction. 

ITEMS THAT ARE IMPORTANT:

SATISFACTORY HOME INSPECTION

SATISFACTORY TERMITE INSPECTION

SATISFACTORY APPRAISAL

REPAIRS (SHOULD BE NEGOTIABLE)

REALTORS® ARE THERE TO AID AND ASSIST YOU IN HAVING A SUCCESSFUL TRANSACTION.