When it's time for you to make an offer and have us negotiate the contract of sale for you, there are a lot of things we need to go over with you besides just having you sign an offer sheet.

 

Typically, we:

  • Develop a comparative market survey to evaluate the property's current market value (vs. the list price) including considering any defects or problems we observed.
  • Advise on the choices available in preparing your "offer" with regard to:
    • time requirements (additional deposit due date, home inspection dates, mortgage commitment date, closing date, etc.),
    • down payment amount ($ amount, or % and how spread out over time),
    • your home inspection (plus any potential additional inspections - oil tank scan, well water and septic tank testing, radon, mold, asbestos, chimney, structural, etc.)
    • contingencies under the offer (mortgage, home inspection, appraisal, etc.).
  • Discuss:
    • how badly you want the property to determine your minimum and maximum price points for the negotiation,
    • the Seller's "possible" motivation(s) to sell.
  • Help you develop the basic financial requirements related to your offer:
    • the optional "Good Faith" deposit:
      • due upon issuance of your offer, if required.
      • usually $1,000 to $10,000 depending on the purchase price offered.
    • the required "Additional Deposit":
      • due approximately 2 weeks after both parties agree on the offer and after "Attorney Review" is completed,
      • usually 50% of your total down payment (less any "Good Faith" deposit, if any given above).
    • Inspection costs:
      • payments are due at the time any inspection is performed - typically within 2 weeks of the end of "Attorney Review"
      • $600 to $1,700 depending on square footage, age of property, and what other inspections may need to be done besides the basic home inspection (for example, radon inspection, termite inspection, oil tank scan, Level II chimney inspection, etc.).
      • upfront financing costs (application fee, commitment fees, points, appraisal fee, etc.)
    • Estimated Closing costs:
      • due at Closing
      • vary depending on the transaction and the timing of the Closing (typically range 3 - 5% of the total purchase price).
    • The remaining "Balance of your down payment":
      • due at the Closing,
      • approximately 50% of your total down payment.
  • Advise you to seek legal counsel, when and as appropriate.
  • Develop negotiation strategies with you including possible pre-set limits and/or key points (items included) for negotiation with the Seller.
  • Prepare the written "offer to purchase" including the proper terms and disclosures:
    • Conditions and contingencies,
    • Items included and excluded,
    • Possible tenants/leases/rentals/security deposits,
    • General financing terms,
    • Required inspection(s) and timing,
    • Key contract dates (attorney review, inspections, mortgage commitment, etc.),
    • Closing date and location,
    • Negotiable items,
    • Deposits/Down Payment Amounts and Related Dates, and
    • Federal and State required disclosures.
  • Present and negotiate your offer with the Seller and/or Seller's Agent.
  • Evaluate/prepare any counter offer(s) with you.
  • Present/negotiate counter offer(s) with the Seller and/or Seller's Agent.
  • Ensure completeness of the final executed contract and disclosures.

[Back to Step 3]     [To Next Step 5]