Congratulations! You’ve received an offer on your home!
What should you consider?
Price is important, of course, but there are other factors to consider when reviewing an offer.
- Price. Is it close to what you’re asking? Is it something you can negotiate?
- How much earnest money are they placing with the offer?
- Closing date. How long do the buyers need to close on the transaction? Does that work for you?
- Financing. What type of financing is the buyer looking for, and will your home meet the financing company’s inspection criteria? How much are the buyers borrowing? Do the buyers need cash back for pre-paid items and closing costs?
- Conditions. What type of inspections does the buyer require? Do they have a house to sell before they can buy? Is that home on the market? Under contract?
You have reviewed the offer. You now have three choices:
- Accept the offer.
- Reject the offer
- Counter the offer.
You may go through several counter offers before settling on the final price and terms.
And by the way, your first offer is often your best offer. Many buyers receive e-mail updates of new and changed listings that meet their search criteria. When a home of interest comes to their attention they call their agent are set up an appointment. They are usually savvy, ready, able and willing buyers who have been looking at comparable properties for some time. If you’re home is what they’ve been waiting for they may make an offer very quickly.