Step 1: Determine Your Price
- You’ve found the perfect home and you’re ready to buy. Now what?
Your real estate agent will be by your side, helping you determine an offer price that is fair – based on their experience and the key considerations:
- Recent sales prices of similar homes in the same neighborhood
- The condition of the house
- What you can comfortably afford
Step 2: Submit an Offer
- Once you’ve determined your price, your agent will draw up an offer, or purchase agreement, to submit to the seller’s real estate agent. This offer will include the purchase price and terms and conditions of the purchase, including:
- Target closing date
- Provisions for certain fees
- A deadline for them to accept or counter your offer, typically one to two days
- Any contingencies, such as an appraisal and a successful home inspection
If the seller accepts and signs your initial offer, you will have a binding contract.
When writing your offer, it is highly recommended that you make the home purchase contingent on the home inspection and appraisal
Tools to get started
Did you know your tax refund can bring you closer to homeownership?
Step 3: Negotiate the Offer
- Oftentimes, the seller will counter the offer, typically asking for a higher purchase price or to adjust the closing date. In these cases, the seller’s agent will submit a counteroffer to your agent, detailing their desired changes. At this time, you can either accept the offer or decide if you want to counter.
Each time changes are made through a counteroffer, you or the seller have the option to accept, reject or counter it again.
Step 4: Finalize the Offer
- The contract is considered final when both parties sign the written offer.
Buying a HomeSteps® Home? Check out these 4 tips.