Receiving an offer, and accepting it
An offer to purchase must be formalised in writing by the prospective buyer, who is to state the amount, financing conditions, validity time frame and potential required conditions. All too often the seller tends to focus exclusively on the amount, without paying attention to the financial aspects or conditions required to a certain degree of detail by the purchaser. It is the estate agent's role to gather all relevant information, and to test the motivation and the application, to ensure that the offer "will go through to the end". Almost two thirds of offers made directly by individuals end in a retraction, either before signing, or within the seven-day time period following the sale, or - with more serious consequences - several months thereafter owing to suspensive conditions not being fulfilled.
Acceptance of an offer to purchase must also be formalised in writing by all principals, with the net sale price being stipulated together with agency fees and potential conditions required by the sellers (time frames, etc.)
Through experience, here are some facts observed daily, to be borne in mind:
- The first offers are often the best ones
- The seller must counter-offer on an offer, even if low, in order to keep negotiations going. Sometimes it takes several weeks or even several months before an agreement is reached.
- Some agencies have a policy not to submit all offers, in order not to detract from a negotiation already under way. At Junot, transparency is key, and any offer received is immediately submitted to the seller so that together the best decision can be made.