About the Offer

It is the listing agent's obligation to present all offers to seller. It is normal practice for the offer to be in writing and for it to be accompanied by an initial deposit "earnest money" binder. The form most used is the Offer to Purchase Real Estate form, or upon occasion, the Purchase and Sale Agreement. All the terms of the offer need to be presented to the seller. The format which most offers take is a statement of: the legal address of the property being sold, the amount of the proposed purchase price, the timing of deposit monies, the mortgage and financing terms, the proposed settlement date, and the conditions of additional contingencies (such as a structural inspection clause, mortgage contingency clause, condominium document review clause, radon gas test clause, asbestos inspection clause, etc.) Typically, deposit funds are held in escrow to be released or returned when contingencies are met, waived, or not satisfied. If the offer is deemed unacceptable, the seller may wish to reject it outright or make a counter-offer. The prospective buyer may then accept the counter, or respond with another offer or withdraw. A seller needs to be informed about ongoing market conditions as they relate to their home.