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Ontario|Real Estate LawBuying A Home 390 Offers and Counter Offers It is quite common for a home buyer to make a conditional offer to a seller for the purchase of a home. This means that the buyer offers to purchase the home, but only if certain conditions are first satisfied. Most commonly, buyers will offer to buy provided that they are able to sell their current home, or provided that they are able to arrange suitable mortgage financing. A buyer may also include a condition to buy the home subject to a satisfactory home inspection, or subject to a zoning change or other municipal approval. To be legally binding, the condition must be specifically written into the offer to purchase.
Conditional offers can be very effective in reducing any risks for the purchaser. However, they are less attractive to sellers and may not be accepted. In reply to a conditional offer, the seller might make a counter offer instead of simply refusing the conditional offer. A counter offer will usually agree with some of the conditions wanted by the prospective buyer, but will exclude the rest. You should seek the assistance of your real estate agent and your lawyer in preparing either a conditional offer or a counter offer.
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