8 Most Important Steps To Do Before Buying Homes for Sale Part 4

"making an offer"STEP 5 – MAKING AN OFFER

Once you have seen the properties and have considered everything on your checklist, double check on the property’s structure, features, deed restrictions and even how much renovation will be needed. Your agent’s information is crucial as they are experts and has more knowledge and experience placing your best interests in mind. Once you both feel that this is the best property for you then you’re ready to make an offer!

This stage involves strategy where your real estate agent must be involved. You don’t want to pay more than the property’s worth and at the same time you don’t want to push the seller away by giving low offers. The agent can advise you on a realistic offer that will give you more chances of buying that property.

All offers need to be made through a letter of intent. Your real estate agent will have an offer letter template (they are also available online) but, in general, you will have to take note of the date, home address, the price you are offering, and any stipulations you want the seller to consider (such as inspection qualifications and dates by which you need an answer). It is very important that you have a lawyer look at your letter (if you don’t have a real estate agent) because if your offer is accepted, you are liable to stick to its terms or conditions (or the lack of them). You will also include a check as an offer of good faith which is usually $1,000 or five to ten percent of the asking price. This earnest money, as some calls it, can be applied to your down payment. This usually shows the seller that you are serious about the deal.

For the most part, you will be making an offer to the seller based on what you think the home is worth and what you can pay. You will be able to back up your offer with all the research that you have done.

Next: Step 6 – Inspection

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