What is an offer to purchase
By HouseFurb, Sep 18, 2018
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An offer to purchase basically is a sale agreement that contains the terms and conditions for the purchase of a property. Both parties need to come to an agreement about all sorts of issues before the document is signed. Everything that is agreed upon must be documented down in the Offer to Purchase document.
It needs to contain all terms on which the partied agreed, such as condition of the sale, date of the occupation, occupation rent, Fixtures and fittings, subject clauses and any special requirements you want to impose on sellers
- Condition - This is a very crucial factor that can count of the mortgage’s approval by the Bank. Offer to Purchase may include a condition that the sale is subject to bond approval being obtained from the buyer’s bank within a realistic amount of time.
- Occupation date - The date agreed upon by both buyer and seller as to when the house will be vacated.
- Occupation rent - Monthly amount paid by the buyer to the seller which allows the buyer to occupy before the property is registered
- Fixtures and fittings - Rule of thumb, anything glued, nailed or screwed down has to stay to the buyer. Both parties can come to an arrangement.
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