Making an offer Template

[chenderson]

Hi,

I've searched this forum and couldn't find any template for making an offer on a property. Could anyone post a template that they usually use when making an offer? I believe the offer needs to include a satisfactory building and pest inspection clause, a subject to finance clause, and a sunset clause?

Also, do you use a letter, email, or fax when writing the offer?

Thanks a lot

 

[Big Will]

Most REA have the standard REIV offer form, this will allow you to add any conditions you wish to use. If you bring a list of the conditions when placing the offer they can be added at that time.

 

[Jake Milne]

Most Victorian agents use REIV contracts of sale; you use this to make an offer - just fill it out.

Also, have a conveyancer or solicitor review your offer before submitting it to the vendor.

 

[leytk004]

I just usually send an email which includes everything you just mentioned plus proposed settlement date and how much I will be depositing if the offer is accepted.

 

[shorty]

If you submit an offer without knowing what you are doing you could end up in strife. Talk to a conveyancer. Get them to check the section 32 and contract for you.

If you skim over the hyperbole, there is some good information in the faqs on this website:
www.lawyersconveyancing.com.au/

 

[redwing]

Hmmm

You could have a "Make an offer flowchart"

No
l
l
Yes---->

 

[Perp]

Always protect yourself by including some statement indicating that you do not intend for your offer to be the basis for contract formation.

I am not a lawyer, but based on reading some of these cases, the kinds of words that might satisfy that, based on past cases, may include:

"This offer is not intended to form part of the written contract of sale, but is for negotiation purposes only, in anticipation of the parties' solicitors formalising the agreement at a later date after terms have been agreed".

If you make a lot of offers, ask a lawyer's advice on your offer template.

In some jurisdictions, the lack of provision of certain documents to you prior to making the offer may prevent the formation of a legally binding contract in any case, but I wouldn't rely on that as my sole protection from finding myself inadvertently in a binding contract.

Do not write special conditions - e.g. finance, building and pest, due diligence, etc. - yourself, or let the agent convince you that they are "standard". These must be prepared or reviewed by a lawyer who is looking after your best interests.

There are dozens of cases where special conditions have failed to protect a buyer based on the specific wording.

 

[Teshy]

Are you looking for something like attached? I found this sometime ago from this forum.

 

[Big Will]

Always protect yourself by including some statement indicating that you do not intend for your offer to be the basis for contract formation.

I am not a lawyer, but based on reading some of these cases, the kinds of words that might satisfy that, based on past cases, may include:

"This offer is not intended to form part of the written contract of sale, but is for negotiation purposes only, in anticipation of the parties' solicitors formalising the agreement at a later date after terms have been agreed".

If you make a lot of offers, ask a lawyer's advice on your offer template.

In some jurisdictions, the lack of provision of certain documents to you prior to making the offer may prevent the formation of a legally binding contract in any case, but I wouldn't rely on that as my sole protection from finding myself inadvertently in a binding contract.

Do not write special conditions - e.g. finance, building and pest, due diligence, etc. - yourself, or let the agent convince you that they are "standard". These must be prepared or reviewed by a lawyer who is looking after your best interests.

There are dozens of cases where special conditions have failed to protect a buyer based on the specific wording.

The only offer worth something is something on a contract of sale, if it is acceptable I will sign and we have a contract otherwise we will negotiate on the CoS. I would not entertain any offer through email or your letter because I need to know everything that will form the contract when negotiating so there isn't any problems in the future.

 

[Perp]

The only offer worth something is something on a contract of sale, if it is acceptable I will sign and we have a contract otherwise we will negotiate on the CoS. I would not entertain any offer through email or your letter because I need to know everything that will form the contract when negotiating so there isn't any problems in the future.

I think that's wise, and it's how I do business, too. Presumably a question about letters or emails for making an offer, comes from somebody who does do business this way, and I offered advice consistent with that.

 

[Big Will]

I would of just said scrap the letters as they are pointless and put it on a CoS

 

[willair]

Hi,

I've searched this forum and couldn't find any template for making an offer on a property. Could anyone post a template that they usually use when making an offer? I believe the offer needs to include a satisfactory building and pest inspection clause, a subject to finance clause, and a sunset clause?

Also, do you use a letter, email, or fax when writing the offer?

Thanks a lot

Any open house in Brisbane will have a copy of the plan,copy of the title ect,they also will have a sales contract just sitting next too all the information and sometimes lately and I have not seen this for several years but some of those contracts are in the hand of the "Banks",depressing for the people who"s name was once on the title,they are the ones to look for,
I don't know if a template would work because every property deal is different..

 

[Kate Ashmor]

Making an offer: use the contract of sale

Any serious offer should be made by filling in and signing the contract of sale. You can obtain a copy from the agent. It's an opportunity to include your preferred settlement date and any additional special conditions, such as 'subject to finance' and building/pest inspection.

Ideally a lawyer should review the contract before you sign it.

Good luck!

Note: the above is general information and should not be considered as legal advice.

 

[Jess Peletier]

In WA the RE's pest and building clauses can be an absolute joke. My last purchase was basically the house had to be falling down and even then you couldn't get out of it.

When I sent my offer in with a big black line through his P&B, and a new, much better one attached he tried to tell me I could only use the one I was given - which is a complete lie, of course.

You do have to be so careful and if you're not sure get a lawyer to look at it!

 

[Kate Ashmor]

Wording for a 'Subject to Inspections' clause

True. When making an offer subject to an inspection(s), you are entitled to propose any wording you wish as a special condition. Whether the vendor accepts it is a different story - it's a matter up for negotiation and there is no set/compulsory wording.

The more flexible and broad the language is, the better for the purchaser, for example: "The purchaser's offer is subject to satisfactory building and pest inspections being conducted within ten business days of the vendor signing the contract. The vendor agrees to provide reasonable access to the property in order to facilitate such inspections."