What to expect with an offer in Massachusetts

Definition: A document that outlines the main terms ( price, dates/deadlines, deposit amount, etc) for the purchase between a buyer and seller. It is considered a legally binding agreement once executed between both parties. 

 Offer is hand-delivered to listing agent by the buyer's agent with a deposit check. 

Offers are usually submitted via email directly to the list agent. Sellers can accept, reject or make a counter offer.  When both parties reach an agreement on terms and the offer is executed by the seller, it considered fully executed executed it becomes a legally binding contract. Practically speaking the contract is more legally binding to the seller than the buyer if there are contingencies like home inspection as outlined below. 

definition: the deposit is also known as earnest money and it usually held in escrow by the listing brokerage. (Realty Executives Boston West in this case) There are typically two deposits. One is submitted with the offer and one with the purchase and sale agreement. 

checks are hand delivered to the list agent along with the offer and with the purchase and sale agreement . 

It is customary for the buyer to send any  deposit electronically following a fully executed document. As explained iin our Escrow policy if a buyer defaults and their is a dispute over the deposits, a mutually agreeable release must be signed by BOTH seller and buyer before any funds are given to seller or returned to buyer.  

Definition - A Pre-Approval is a preliminary approval to obtain a mortgage. Buyers who plan to obtain a mortgage should provide this along with their offer. 

Buyers are completely approved for their mortgage once they have a pre-approval and nothing can go wrong. 

definition this is the period of time that buyers have to insepect the home and conduct their due diligence, The deadline for inspections and types of inspections to be conducted are included in the offer to purchase. 

Buyers cannot attempt to renegotiate or back out of the purchase following or as a result of an inspection. 

After inspection(s) buyer's have the right to proceed with the sale, renegotiate purchase terms, or back out of the sale.  If parties are unable to come to an agreement, buyers are entitled to the return of their deposit. Buyers sometimes use the inspection ion contingency as a  means to renegotiate their offer terms< If this occurs we will advise you accordingly depending on circumstances. 

definition - an extensive, legally binding contract between the buyer and seller. This agreement is crafted by your respective attorneys and defines what each party must do prior to and up to closing in order to complete the sale. It has clauses to protect both buyer and seller. 

Once the purchase and sale agreement is signed, the deal is done and nothing can go wrong.

Once this is signed you have crossed a huge hurdle and the sale usually occurs. However, there are circumstances in which the party fails to perform their obligations under the purchase and sale agreement. If this occurs, we will advise you according depnding on the circumstances.  

definition : 

Buyers have no control over the amount of the appraisal an it not another inspection.  Mot of the time appraised valu reflects the amount the buyer is willing to pay fpr the home. Appraisals sometimes come in too low and this is more apt to happen when these is a lack of comparable sales in the area. we will advise accordingly if thsi happens. 

defintition - a provisoin in the offer and Purchase adn Sales Agreement which specifies the date and time by which the byers musst have their mortgage commitment. 

if the buyers do not get their mortgage by this date the sller can keep the buyers deposit. 

If buyers notify the seller prior to the contingency date that they ned additonal time to obtain the mortgage or that theywe were unable to obtain a mortgage, they can terminate the sale and get their deposit back. However, if the buyers are deinied a mortgae after this date the seller is usually entitled to keep the depoist. Please keep in mind that the crow Policy to return deposits. 

defintion the date on which the deed is executed and transfereed to the buyers and buyers offically ake ownership 

seller can remain in the home after this date or seller can easlly change this date after signing the Purchase and Sale contract. 

This is a firm date in the Purchase and Sales Agreement that cannot easily be changed. Sometimes mortgage delays from the buyer or title delays form the seller can cause a closing to be delayed. Plan to vacate the house 100%  the day before, ( or sooner) all trash and personal belongings need to be removed and any cleaning should be complete by 5PM the day before. Buyer will conduct a final walk through the night before close or early morning of close, to verify condition before they take ownership.