Making an Offer & Negotiating

Start with a strategy, not just a number

A strong offer balances price, terms, timing, risk, and what matters to the seller. The goal is to purchase the right property on terms you understand—not simply to win a bidding contest.

• Review recent comparable sales, active competition, and the property’s condition.
• Determine your comfortable payment and total cash needed before deciding on an offer.
• Discuss your priorities and walk-away limits with your buyer’s agent.

Study comparable sales and market conditions

Your offer should reflect evidence about the home and the local market.

• Compare recently closed homes with similar location, size, condition, features, and lot characteristics.
• Account for differences such as renovations, garages, basements, acreage, and unusual property features.
• Consider days on market, price reductions, competing offers, and how quickly similar properties are selling.

Understand the terms beyond purchase price

Two offers at the same price can have very different costs and risks.

• Review earnest money, financing type, down payment, proposed possession, included fixtures and personal property, and any requested seller concessions.
• Confirm how appraisal, inspection, financing, title, and other contingencies work under the actual purchase agreement.
• Ask about seller priorities without assuming they will accept or reject particular terms.

Coordinate the offer with your lender

Your financing plan should support the promises you make in the contract.

• Get a current preapproval and confirm the loan program, expected cash to close, and payment range.
• Discuss any seller-paid closing costs, rate buydowns, appraisal-gap proposals, or financing deadlines with your lender before offering them.
• Understand that lender approval and appraisal are separate steps; preapproval is not final loan approval.

Protect your opportunity to investigate

The offer determines what investigations you can perform and when.

• Discuss a realistic inspection period and whether specialized reviews may be needed for sewer lines, wells, septic systems, structures, or other concerns.
• Understand the specific notice requirements and remedies in the inspection clause before signing.
• Consider title, survey, zoning, insurance, condominium documents, or municipal requirements when relevant.

Know how earnest money works

An earnest money deposit demonstrates commitment, but its treatment depends on the signed agreement.

• Confirm the deposit amount, due date, holder, and acceptable delivery method.
• Review the conditions under which the deposit may be returned, released, or disputed.
• Keep proof of payment and follow contract instructions rather than relying on verbal assurances.

Handle counteroffers and multiple-offer situations

Negotiation is a process of evaluating tradeoffs—not simply increasing the price.

• A seller may accept, reject, or counter an offer; the parties are not under contract until the necessary acceptance and delivery requirements are met.
• Evaluate a counteroffer as a complete package, including deadlines, concessions, repairs, and possession.
• In a multiple-offer situation, set your maximum comfortable terms in advance; do not assume you will get another chance to revise.

Put every agreement in writing

Clear documentation prevents confusion during a fast-moving transaction.

• Make sure the written purchase agreement identifies the property, parties, price, inclusions, contingencies, and deadlines accurately.
• Review any addenda and counteroffers together so that the final terms are consistent.
• Do not rely on verbal promises about repairs, appliances, credits, or closing arrangements.

After acceptance, act on the deadlines

An accepted offer begins the next phase of the purchase, not the end of negotiations and due diligence.

• Deliver earnest money as required and promptly schedule inspections and specialized evaluations.
• Coordinate lender documents, insurance quotes, title review, appraisal, and any association or municipal requirements.
• Track contingency dates and submit notices or amendment requests in the required manner.

Your next practical step

Before making an offer, ask your buyer’s agent to walk through a comparable-sales analysis and a draft purchase agreement. Decide what you can afford, what you need to investigate, and which terms you are unwilling to waive.

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