Pending Offer: The Buyer’s Due Diligence Period
Once we have negotiated the terms and conditions in a Contract of Purchase & Sale with a Buyer, we will have an “Accepted Pending Offer” that is conditional upon the Buyer being satisfied with completing their due diligence on your property within a specified timeframe. In the Okanagan the buyer will typically have 10 days to 2 weeks to complete their due diligence on the property if there are no competing offers in play at the time of negotiations.
Offers are typically going to be made conditional to Buyers satisfying themselves with the following:
Title Search:
Property Inspection:
Appraisal and Financing:
Home Insurance:
Property Disclosure Statement:
Strata Documents:
Seek Legal & Accounting Advice:
Other Conditions:
Some properties may have additional conditions in which a buyer may put into a Purchase Contract for their protection. Sometimes there can be seller subjects too!
Our Job:
Our job is to ensure the buyers have all the information they need to ensure conditions are fulfilled in a timely manner. This means working with the buyer’s agent for booking inspections & getting updates on financing. Arranging times for appraisals. Granting access with tenants. Addressing any deficiencies in inspections and assisting with obtaining quotes. Providing municipal property files & orderings strata documents from your Strata Manager. In the meantime, we continue to market your property to try to obtain a backup offer!
Subject/Condition Removal Date & Deposit: Attach image below
Once they Buyers are satisfied with the due diligence and are ready to waive conditions, the Deposit will become payable. In BC, a reasonable deposit is around 5% & will get held by the Buyer’s real estate brokerage “In Trust” up until the Completion Date whereby it will form part of their total down payment. Once conditions are removed and deposit is paid, your home is SOLD! From here our office will send all relevant paperwork to your lawyer/notary for the conveyance of Title on the completion date with the Buyers lawyer.