I Need And "out" Clause In My Offer
Is this possible? I need to make an offer on a foreclosure house quickly. The realtor showed it to me today, but has 8 people lined up for Saturday. Isn't she nice to show it to me early? Anyway there is a little water damage and I need to have an inspection done. How do I make the offer and then get out of it if I don't like what the report says? Thanks!
[addsig]
Make the offer continget upon you accepting the findings of the inspection.
Good luck
Subject to non excessive damage or coditional stablity of foundation. You basiaclly define this - may work
Subject to busines partner financing - he he
Nobody said your business partner can't be your dad and his financing was $1[ Edited by downpayit on Date 02/12/2004 ]
Sneaky, downpayit.....but effective......
Laura,I use subject to financing acceptable to buyer.
This is my first post on this site but as a licensed realtor, I dealt with this often. The standard contract your realtor is using should have the necessary out clause for a home inspection, giving you a period of time to have that inspection performed to your satisfaction.
As John said, practically all standard agents' purchase agreements have an inspection clause. BE CAREFUL! Most REOs have special lender approved agreements that specificly state sold "as is" and you may have to manually add in a clause.
Clauses like "partner's approval" might work on a desperate homeowner, but won't fly with a bank-owned.
A clause for financing might be accepted, but if there are others waiting in line, likely you'll be put on as a backup offer.
When buying REOs, the best offer is cash, followed by non-conforming or preapproved financing. The quicker the closing, the better, and the less contingencies, the better.
Roger
Hey,
Roger beat me to the answer I was going to give (Cash is king!), so I'll have to give a different answer.
When you over a contract to a seller, you job is to get that contract accepted. You do NOT make any money, by handing out contracts.
So put yourself in the seller's shoes for a second.
They have a bunch of investors coming to look at the house tomorrow, if your contract is full of "get out of jail free" clauses, what will create the urgency for them to sign with you???
The house has one or two things wrong with it, and the seller knows it; so put a clause in that says the estimated amount of repair can not exceed $xxxx.xx.
I am making my offer in a few hours. The listing states Sold "as is, where is". Roger mentioned that I needed to manually add in my out clause about having an exceptable inspection. How do I do this? I want to make sure my agent handles it correctly. I also discovered that there is some mold in the basement so I want to make sure that the mold inspection is covered to. Thanks and wish me luck.
[addsig]