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Are you selling your property? When you receive an offer from a potential buyer, make sure you understand the contract and such things as what you are committed to pay for, deadline (contingency) dates and available options under the contract. Seek legal advice.
When reviewing a contract, be careful aware of clauses that have you paying a buyer's closing costs, and of course you should watch out for all the contingencies that could cost you time with your home off the market. If the buyer wants to close on the sale contingent with the selling of his or her house, include a kick-out clause that will allow you to back out of the contract within a specified period of time if you receive an offer that does not contain contingencies and that you would rather accept.
You might want to have your real estate agent obtain an estimate of your net proceeds from the sale from an escrow officer. In that way, you can understand the financial outcome of the offer.
Buyers vs. Sellers Market
It is important to understand how the real estate market is working in your local area. Is it a buyer's market? A seller's market? Is the market neutral? This will affect your position in the negotiations.
Buyers Market - The real estate market has more sellers than it has buyers. Buyers will find plenty of homes that they can consider to purchase, and even have the opportunity to revisit them again for comparisons, before submitting an offer.
Sellers Market - The real estate market has more buyers than it has sellers. Home sellers will likely receive multiple offers (i.e., more than one offer) on their property.
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