Writing an Offer to Purchase
An offer to purchase is a binding legal document. It is explained in detail when a buyer is purchasing a property. The main elements of an offer include:
Price: The offered price to purchase.
Deposit: At the time of offer, a buyer will put forth an initial deposit.
Conditions: A number of conditions can accompany an offer. The most common are financing, home inspection and review of condominium documents (in the case of a condo purchase). Other include the sale of a buyer's current home. If an offer with conditions is accepted it becomes a conditional offer (or pending sale) and the buyer usually has a set deadline to remove the conditions to make it a firm offer. Once an offer is firm, both buyer and seller are legally bound to the contract.
Inclusions and Exclusions: The inclusions list include all of the unattached goods that will accompany the sale. The exclusions are those things that will be removed by the seller. These vary from home to home but include items such as window coverings and appliances.
Completion Day/Possession Day: This is the date that title to the property is transferred to the buyer and funds are received by the seller. Buyers generally get possession of their new home at or around noon on the Completion Day as per the standard contract wording.