SELLER’S OPTIONS TO YOUR OFFER
After you submit an offer to purchase a property, the seller has several options on how to respond:
- Accept Your Offer: If the seller agrees to your terms without any changes, your offer becomes a legally binding contract.
- Reject Your Offer: The seller has the right to decline your offer without making a counteroffer.
- Ignore Your Offer: While the listing agent is required to present all offers, the seller is not obligated to respond or acknowledge yours.
- Counteroffer: The seller may propose adjustments to your initial offer, turning it into a counteroffer. This shifts the decision back to you to accept, further negotiate, or walk away.
Each response opens different pathways for negotiation and progression towards purchasing your desired property.
Congratulations, Your Offer Has Been Accepted!
Now that your offer is accepted, here’s what happens next from securing financing to removing subjects:
- Financing: Secure approval from your lender. Provide them with the Contract of Purchase and Sale, Property Disclosure Statement (PDS), and the property feature sheet. For Strata properties, they may also require strata documents and a Form B.
- Document Review: Examine the Property Disclosure Statement to understand any known property issues and conduct a Title Search to identify any encumbrances. For Detached homes, check permit history and oil tank scans, confirm zoning, and suite legality. For Condos & Townhouses, review all strata documents and ensure renovations have strata approval.
- Deposit: Have your deposit ready and issue a bank draft payable to your Realtor’s Brokerage held in trust.
- Insurance: Obtain a property insurance quote. For detached homes, this is essential as the property serves as security for your mortgage. Rates may vary based on the home’s replacement value. An insurance broker can assist with this.
- Utility Bills: Request past utility bills to estimate the costs of running your new home.
- Home Inspection: A home inspector will evaluate the property’s condition, highlighting any issues or needed repairs, and possibly identify past problems. If repairs are required, we can assist with recommendations.
- Contract Changes: If changes to the contract are needed, prepare and sign an addendum. Be aware if done incorrectly, this could potentially allow the seller to exit the contract.
- Remove Subjects: Once all conditions are met, notice to the seller must be provided (in writing) that you are removing the subject clauses.
Following these steps will ensure a smooth transition from having your offer accepted to taking ownership of your new home.
YOU’VE BOUGHT A HOME!
Next: MOVING INTO YOUR HOME
You will receive our comprehensive guide to buying a home.