What to write in an informal offer to purchase a home through a private party?

Question

We are looking to purchase a house that is for sale by owner. We plan to get a home inspection done on the house, but they would like a very informal offer before we get to far into things. What are some things we should include in this informal letter to purchase this house. I need help. Any suggestions would be helpful. All we know that we want to put is that it is contingant upon the home inspection.

Answer 1

First of all get a pre-qualification letter from a lender. If there is not going to be a realtor involved I strongly urge you to consult a real estate attorney. There are so many factors that go into buying a house you could be better off in the long run by consulting a professional. If you can, get your hands on a few samples of a realestate contract that could give you some ideas and wording examples. Things will include:
-Contingent on the appraisal, contract, inspection and mortgage commitment

Hope that helps!

Answer 2

I agree and disagree with the other responses.

First, you should find a strong and well written sales contract to use--don't try to write something up yourself. Your state real estate commission has forms promulgated for Realtors. You can use those. In Texas, they're accessible online for anyone to use.

Second, you don't need an attorney to review the contract, especially if you use your state's Realtor forms. But you should close at a title company. Spend the money (closing costs) to have a title company review the survey and issue title insurance.

Also, I'd highly recommend you spend the additional money for a home inspection and an appraisal.

If you know someone who works at a title company or a mortgage loan officer, they could help walk you through the process. Call me if you'd like--no profit in this for me but perhaps one day you'll refer me to a friend or relative!

Rick Lanicek
[phone] Ext 202
www.primelendingonline.com

Answer 3

Another writer spoke of an attorney.

Spend the money. It's far less than a realtor's fees. And far, far less than a disastrous mistake. The attorney knows all the pitfalls and will protect your interest.
The reasons for selling "by owner" is to avoid the outrageous commissions by Realtors.
But you need protection by an attorney. You seldom receive that by any Realtor.

Who is paying a realtor's commission?
Who receives the most protection? Hmmmm?

Added note, you may offer something less than the asking price, and offset attorney fees. Those will not be 6-8% of the sale. Be sure to agree on the attorney fees in advance.

Answer 4

frequently, i might say "NO way". however the fact which you're debt-unfastened, and have been waiting to save up sufficient money for a 20% down-fee tells me which you're to blame including your funds. it incredibly is form of of a volatile circulate, yet as long as you come across yet another activity incredibly quickly, i for my section do no longer think of you need to bypass on getting the living house. real now, between you and your fiance, you're paying lease on 2 residences. easily the month-to-month mortgage fee could be much less (or comparable) to that, so denying the living house and staying on your residences does not relatively help, does it? As somebody else mentioned, $8000 does not circulate as far as you think of it ought to, and unemployment does not pay ok the two (enormously provided that they tax it!). i comprehend you would be wanting your fiance's income as nicely, yet possessing a house has many greater costs in contact than only renting an place of abode, so shop that for the period of techniques. perhaps your rate reductions and unemployment might carry you for 8 months, yet i'm hoping you're smarter than to objective that theory. in case you do no longer already, make a funds and notice (for confident) how plenty you could arise with the money for month-to-month. The 20% down-fee will help immensely to decrease your month-to-month money and, once you're as financially to blame as you sound such as you're, choose for it. do only it until eventually now you lose your activity by way of fact it doesnt look genuine comforting to the banks once you're unemployed on a similar time as attempting to purchase a house!!

Answer 5

ok