The Tribune

By MIKE LIGHTBOURN IMAGINE you've been looking at homes for a month now, seen a wide variety of properties, and you're ready to take action. What's the next step? Once you've made your decision, you must make a verbal or written offer to purchase, a statement of your intentions to buy the home based on certain terms and conditions, at a specified price. Here's how it works. A " purchase offer " is an offer that is not binding until accepted by the sellers. You may withdraw your offer, whether verbal or written, at any time prior to written acceptance by the sellers and/or the signing of a sales contract by both parties. A deposit, typically 10 per cent of the purchase price, will also be required. Verbal agreements are not enforceable in real estate purchases so it is best to make all offers in writing. An "offer" defines four primary points: 1) purchase price; 2) terms under which you will make payment; 3) any special conditions (such as a subject to finance clause) and; 4) a completion date when the transaction, hopefully, will be completed. Sometimes, the offer may not be acceptable to the vendors. They may make changes in the offer, and make a "counter-offer," which would then require acceptance by the purchasers. Once all parties have signed, indicating their accord, the document becomes a binding "sales agreement." This also MUST include the deposit. From then on, the agreement is carried out by all parties to reach a successful conclusion. Mike Lightbourn is president of Coldwell Banker Lightbourn Realty