Writing an offer

Infographic - things you'll do when writing an offer (summary of steps listed in the article)Writing an offer on a home for sale takes time in Silicon Valley because here we front load a lot of the work, while in other areas, more is done in escrow or once the buyer is in contract.

Buyers and sellers do more in advance here

For instance, here it’s normal for buyers to have a pre-approval from a lender (not just a pre-qualification). In some areas of California, or other parts of the U.S., home buyers only apply for the loan after they are in contract.

On the seller’s side, it’s normal for the property owners to order and pay for inspections up front in the South Bay. These often include a home inspection, a roof inspection, and a termite or pest inspection (but there can be others).

Additionally, sellers provide completed disclosures upfront, including HOA documents, if that applies.

Since there are hundreds of pages in the disclosure packet provided, the sellers expect the buyers to read, accept, and sign off on them when submitting a purchase contract. In other, more rural parts of California, the seller might have nothing ready to review first, and the buyer would be expected to pay for all inspections after they are in contract. Things move much more slowly in those areas as compared to here.

In this article, I’ll go over what’s involved in writing an offer in the San Jose area and how much time buyers should allow. It is more complicated than it may appear, precisely because of the front loading I touched on above.

What is involved with writing an offer?

Deciding to submit an offer involves many elements, each of which require some time (not always done in this order): (more…)