The day your real estate agent calls to tell you there is an offer on your home, you might be very excited and nervous. Offers can sometimes be really good, but there are also times when they can be fairly bad. When you receive an offer, it's important that you consider more than just the purchase amount the buyer is offering.
The buyer's ability to buy a house
One thing you should factor into your decision with the offer you received is the buyer's ability to get the loan and close on your house, and you might be able to find out more information about this by talking to the agent handling the sale. If the buyer is preapproved for a loan that is greater than the asking price of your home, you should be safe. This buyer will probably have no problem getting the loan.
On the other hand, if the buyer has not even yet received a preapproval from the bank, there is a chance he or she may not qualify for a loan. This is not something you would find out right away, which means there could be delays in the closing if the buyer ends up unable to get a loan.
A second factor to consider is the requests the buyer is making. Some home buyers will ask for nothing when they make an offer, but there are others that will have a lot of requests. These will be listed as contingencies, and each contingency can be costly. As you look over the offer, consider whether these requests are fair or not. If they seem too expensive or if it seems like there are too many, you may want to counter or reject the offer.
Finally, you should take into consideration the timing of the closing with the offer you received. Most purchase offers will state a time period in which they hope to close. Some buyers might list 30 to 60 days as the expected time period, while others may want a longer amount of time than this. If you want to close as quickly as you can, you should carefully read over the timing on the offer.
The good news about getting an offer is that it might be a great offer that you can easily agree to. If you are not sure what to do with an offer you received, talk to your agent about it.