Home Buying in Jersey City>Question Details

Parag, Home Buyer in Jersey City, NJ

What are the contents of an offer letter?

Asked by Parag, Jersey City, NJ Sun Apr 5, 2009

I am ready to make an offer on place I like. The offer letter that my agent drafted for me is plain vanilla. It just mentions the address and the price I am willing to pay. It says nothing about, "subject to house inspection, "subject to attorney review" etc. My agent explained that this is just an offer to get a counter offer from the seller. But my understanding is that if the buyer accepts my offer as is, then it becomes a binding contract. Is my understandng correct? Do you typically put contingency clauses in an offer letter?

Help the community by answering this question:



Only a formal contract of sale signed by BOTH the buyer and seller would become binding once the three day attorney review period has completed. In NJ all offers have to be presented in writing so your agent is using an a simple offer to purchase form to present your offer. You can ask him or her to add the inspection and attorney contingency to the offer to purchase. Either way, if the seller accepts your offer, formal contracts of sale will have to be drafted and signed by both parties and then submitted to the attorneys to review.

A contract of sale states an attorney review period, home inspection contingency, mortgage contingency, etc. I recommend asking your agent for a copy of a contract to review, that way when you do get an accepted offer you are familiar with the document. Your attorney will mostly adjust some of the language in the contract during the attorney review period in the form of a Rider to the seller's attorney.

All the best in your home search,

Walter J. Burns
Weichert Realtors
1 Newark St.
Hoboken, NJ 07030
201-653-8488 Ext: 230
201-694-8946 Mobile
201-653-4154 Fax
0 votes Thank Flag Link Sun Apr 5, 2009
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