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Creating a Contract
Once you agree on a price, both sides will sign the contract for the sale of
the home. The contract will list the price, the dates for the deposit and other
payments, and the latest closing date. The contract will also list any exclusions
or inclusions pertaining to the sale (e.g., Are the appliances included? The
window treatments?).
Most homeowners take pride in their homes, create an emotional connection,
and want to sell to someone who will appreciate it. Try to compliment the
home and avoid discussing extensive renovations in front of the seller. Don’t
overdo it, though, or the seller might think you will buy the house no matter
the cost and negotiate on that assumption.
Contingencies: A typical contract includes several conditions that need
to be met before the deal is closed. Both parties to the contract will have
contingencies protecting their interests. Some of the most common ones
include:
An inspection contingency provides you with a frame of time in which to
conduct a home inspection and discuss the results with the seller. At that
point, if material defects are found, the seller will usually need to agree
to cure the defect, offer you a credit for curing the defect, or allow you to
walk away.
A financing contingency allows you to walk away from the deal if you
cannot obtain financing by a set date.
Some buyers add an insurance contingency which makes the contract
dependent on their ability to get homeowner’s insurance, which might be
a challenge in areas known to have specific problems, such as flooding or
mold.
Other less standard contingencies that are subject to negotiation are
contingencies that make the contract dependent on the seller finding
a new home, the buyer selling their current home, or in a brand-new
development, meeting and approving the other buyers.
Looking for the right agent?
Maayan Benseev Give me a call!
Cell: (848) 888-2525 - Education - Experience
Maayan@kw.com
www.maayan.kw.com - Professionalism - Results A name you can trust!
2020 Lakewood Home Buyer’s Guide | 63
