4 terms home buyers need to know
In a fast paced real estate market, understanding the home buying process, and having the right real estate broker beside you, can mean the difference between disappointment and getting the home of your dreams. Here are four terms you should know before you buy:
Contingencies - These are conditions that must be met before the sale of a home can be finalized, including a home inspection to check for major defects or a contingency that a buyer must sell their current home first. In general, fewer contingencies will put you in a better negotiating position.
Earnest money - Also known as a "good faith" deposit, this money is paid by the buyer and held by a third party to demonstrate to sellers that the buyer is serious about purchasing their home.
Escalation clause - In a competitive real estate market, an escalation clause can help you outbid other buyers. Your real estate broker can help you write a contract that states your willingness to increase your offer by a certain amount if the seller receives higher offers.
Backup offer - Just because another buyer has signed a contract on your dream home, doesn't mean it's out of reach. A backup offer can put you next in line if the contract with the first buyer falls through. A real estate broker can help you determine if writing a backup offer is the right move for you.
If you're ready to buy, our team at Harnish Properties is ready to help you through the process.
201 B Avenue, Suite 101
Downtown Lake Oswego