What the Offer Contains
Your written proposal may include, but is not limited to, the property’s address and legal description, sale price, terms, deposit, expiration date of the offer, prorating (adjustments) of utility bills, real estate taxes, insurance, conditions, repairs and any other terms that you deem important.
A deposit given when making an offer. It demonstrates sincerity—“earnestness”—on the buyer’s part. If the offer is accepted, it becomes part of the down payment. If not, it is usually returned.
A condition means that the purchase is subject to certain events occurring, such as the buyer’s financing or loan being approved, or the property passing a home inspection. In the event of the home being a Condominium property it could be a condition on a Status Certificate. If the conditions aren’t met, the offer is considered null and void.
If the seller accepts the offer, and signs the acceptance, you have a deal. If not, you are free to walk away, and cannot be held liable for the contract. The seller may make you a counter-offer, and you are free to accept it or not, or make your own counter-offer. Only when an offer is accepted and signed by both parties is the contract binding.
Withdrawing An Offer
In most cases you can withdraw your offer up to the point when it is accepted. If you do wish to cancel the offer, it’s a good idea to consult with a real estate lawyer. You don’t want to lose your deposit, or be sued for damages perceived by the seller.