Making an Offer: An Overview

Making an offer on a home can seem like a mysterious and intimidating process. And while there can indeed be many ups and downs along the way, most home offers follow a similar pattern.

1. Initial Offer: Once you find the right home, you'll make an offer on the property. Usually, the offer paperwork will be drawn up by your agent or attorney. Most sellers will not accept an offer unless you're pre-approved for a loan. Your agent will perform a comparative market analysis to help determine an offer price.
   Read more about making an offer.
   
   
2. Seller Response: Your initial offer will usually include a deadline by which the seller must respond. This deadline may vary from a few hours to 1-2 days, depending on how aggressive your offer is. The seller may respond by agreeing to your offer, making a counter-offer, or rejecting your offer outright.
   
   
3. Negotiations: If the seller counters your original offer, it's usually because they want more money or a faster timeline for closing the deal. Your agent or attorney will negotiate on your behalf to get you the best deal possible. You may come to a quick agreement, or you may go back and forth with the seller for many rounds of negotiations. During this stage, either party may walk away from the deal at any time.
   Learn more about the art of negotiating.
   
   
4. Mutual Acceptance: Once you and the seller agree on price and terms, you'll both sign the purchase contract. In most locations, you'll now submit a check for your earnest-money deposit. You and the seller are now contractually obligated to complete the deal, unless a contingency of the sale is not satisfied.
   Learn more about mutual acceptance.
   
   ...or...
   
   Rejection: Home offers do get rejected, and many buyers go through multiple rejections before finally landing the right home. It can be demoralizing to lose a home, especially if you've already gotten emotionally attached to a home you tried to buy. But these experiences can be an important opportunity to learn, refocus on what's important, and refine your offer process.
   Read tips about dealing with rejection.