Real Estate

Conditions for sales in a buyers market

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  • Sep 7th, 2018 12:51 pm
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Conditions for sales in a buyers market

What are some conditions you can add in an offer, that you can really only do in a buyers market?

I'm talking about things like selling your home before buying the one you're putting an offer on, or longer closing dates.
7 replies
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Dec 23, 2010
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Moon
RCGA wrote:
Sep 7th, 2018 10:33 am
What are some conditions you can add in an offer, that you can really only do in a buyers market?

I'm talking about things like selling your home before buying the one you're putting an offer on, or longer closing dates.
Nobody will ever accept that as a condition. The market is more like a neutral market rather than a buyer's market.

Generally outside of financing conditions will cost you money. The more conditions you have the less you can negotiate on price.
Jr. Member
Nov 25, 2007
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Applesmack wrote:
Sep 7th, 2018 10:39 am
Nobody will ever accept that as a condition. The market is more like a neutral market rather than a buyer's market.

Generally outside of financing conditions will cost you money. The more conditions you have the less you can negotiate on price.
you see people having that as a condition all the time in smaller towns. There are many people that cant afford to hold 2 mortgages, or 1 mortgage and 1 rental.
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Applesmack wrote:
Sep 7th, 2018 10:39 am
Nobody will ever accept that as a condition. The market is more like a neutral market rather than a buyer's market.

Generally outside of financing conditions will cost you money. The more conditions you have the less you can negotiate on price.
They are done in Toronto and structured as an escape clause. Buyer can back out if he doesn't sell his current property and seller can continue to list.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
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CdnRealEstateGuy wrote:
Sep 7th, 2018 12:31 pm
They are done in Toronto and structured as an escape clause. Buyer can back out if he doesn't sell his current property and seller can continue to list.
Question about this.

I offer $500k for a property, conditionally, based on the sale of my home, and it's accepted.

The house is still listed

Someone comes by and offers $510k with or without the condition to sell their current property.

Do I need to match $510k and drop my condition to sell?
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RCGA wrote:
Sep 7th, 2018 12:36 pm
Question about this.

I offer $500k for a property, conditionally, based on the sale of my home, and it's accepted.

The house is still listed

Someone comes by and offers $510k with or without the condition to sell their current property.

Do I need to match $510k and drop my condition to sell?
No, you don't need to match the $510k, but you need to waive the condition now.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative
[OP]
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CdnRealEstateGuy wrote:
Sep 7th, 2018 12:41 pm
No, you don't need to match the $510k, but you need to waive the condition now.
So really no risk to me as a buyer to include it as a condition, assuming they'll take $500 with our without it.
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RCGA wrote:
Sep 7th, 2018 12:49 pm
So really no risk to me as a buyer to include it as a condition, assuming they'll take $500 with our without it.
It just gets a bit ugly if you have your property listed and then you lose the house to another offer.

But yes, risk is mitigated with this clause.
Kevin Somnauth, CFA
Mortgage Agent and Real Estate Sales Representative

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