Offers & Negotiations

When a buyer submits an offer on a home, the seller has several options:  They can accept the offer as-is, make a counteroffer, or reject it altogether. We will review and discuss the sales price, due diligence amount, earnest money, the due diligence time frame, settlement date, and additional terms of the offer.

Once an offer is accepted, and all paperwork has been signed by both parties, the buyer and seller eenter into a contractual agreement, known as being "under contract." At this point, the buyer typically provides a due diligence fee (if applicable) and / or an earnest money deposit.

The due diligence period begins once the contract is signed. This is a period for inspections, an appraisal, a title search, and finalizing loan details before the transaction is clear to close.

The Due Diligence fee is a negotiable good faith deposit that goes directly to the seller.

The buyer is showing they are commited to purchasing the property and the seller is compensated for removing the property from the market. This amount is non-refundable (unless seller breaches contract or cannot provide clear title).

The seller should communicate how they would like to accept the Due Diligence deposit from the buyer.  (Check, Venmo, etc).

The Earnest Money deposit is negotiable and typically held by the closing attorney, in a trust account, until closing.Should the buyer terminate the contract during the due diligence period, the earnest money is typically returned to the buyer. If the buyer terminates the contract after the due diligence period, the earnest money can be split between the seller and real estate broker.

Assuming everyone adheres to the terms of the contract, and moves forward with the sale, both the due diligence and earnest money amounts are credited to the buyer’s down payment and closing costs on the settlement date.

During due diligence period, a buyer will inspect the property. This is a pivotal phase in your home-selling journey, marking the stretch between accepting an offer and sealing the deal. It's a time for ensuring all parties meet their obligations and that the sale progresses smoothly. As a seller, your role is to facilitate these steps, providing access to your property and necessary documentation.

Your Part: Help the buyer by providing easy access for inspections and providing any info they might need. Inspections may include: Home Inspection, Pest Inspection, Survey, Septic Evaluation, Well Inspection, HVAC Inspection, Radon Inspection, Appraisal, etc.

• Please make sure utilites are in working order and access to attics and crawl spaces are clear. Electricity and water must be on for inspections, including de-winterizing. If there’s an oil, gas, or propane tank, please make sure there is enough oil or gas in the tank for inspections.

Keeping an Eye on Deadlines:

Each condition comes with a deadline. Staying organized and responsive is key to ensuring these deadlines are met without a hitch, keeping the sale on track.

Addressing Inspection Findings: Talk It Out

It's common for home inspections to unearth a few issues. Depending on what's uncovered, we may need to negotiate repairs, or price adjustments, with the buyer. Rest assured, we'll strategize together to make decisions that align with your best interests.

Preparing for the Next Steps:

Once all conditions are satisfied, the sale moves towards closing. This means finalizing paperwork and getting ready for the big move.

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