You found your dream home… but someone beat you to the punch and put in an offer.
Your 30A Realtor might suggest that you put in a backup offer. But what is a backup offer, and why should you throw your hat in the ring?
What is a Backup Offer?
A backup offer is an offer you make to a seller, letting him or her know that you’re waiting in the wings if the original transaction falls through.
You’ll make your offer the same way you would make any other offer, but you’ll make it after someone else has already started to purchase the home. You and the seller can negotiate terms, just as you would if you made the first offer, and you’ll come up with an earnest money deposit (which you’ll get back if the original buyer does end up purchasing the home).
Why Make a Backup Offer?
If you have your heart set on the perfect home, a backup offer is your last chance to get it. Real estate deals fall apart every day (it’s unfortunate, but it’s true) – and a lot of times, that’s because the original buyers couldn’t obtain financing or had some other issue that prevented them from making the purchase.
When that happens (well, if that happens), you’ll be there to pick up the transaction again.
Be realistic, too, though. Sometimes real estate deals fall apart because of bad home inspections or low appraisals; if one of those was the culprit, you may not want the home after all.
ARE YOU BUYING A HOME IN ALYS BEACH?