FIRST TIME HOME BUYERS SERIES | WEEK TEN | CONDITIONS ON YOUR OFFER

Understanding the ins and outs of conditions on your offer and how deposits work can make a big difference in your home buying journey.

There are many conditions you can include with your offer. The most common for first time buyers include mortgage financing and a home inspection.

A financing condition protects you until your mortgage is approved. Remember a pre-approval does not guarantee a mortgage approval, and this process can reveal unexpected issues that may affect your eligibility. 

You can also use a financing condition to your advantage. Because you’ve already done your pre-approval homework, you may be able to offer a shortened financing condition date which make look favorable to sellers and give you a leg up on your competition. Especially if you are in a multiple offer situation.

Adding a home inspection condition to your offer is crucial as it provides an opportunity to assess the property's condition before finalizing the purchase. This condition safeguards you by uncovering potential issues, allowing for negotiation, and ensuring you make an informed decision about the property's value and any necessary repairs.

Once your offer has been accepted, you will be required to provide a deposit and this amount can range widely from sale to sale. It’s good to know that The lender considers the deposit provided as part of the required down payment, and not an additional sum.

The Real Estate Council of Alberta (RECA) offers some great information in regards to offers. Click here to read more.