timeline on offer to buy

[Ronald Stark]

Hi All,

I am new to property investment and would like to do my first purchase of single family home to rent out. I have some questions, maybe you can help.

If I make an offer on a house I am led to believe the process is as follows...

1. Make the offer

2. Pay earnest money with option to back out. How long is that option typically?

3. During option period get 3 general contractors in to give quotes on work needed. These quotes are free.

4. If quotes look reasonable then get an a house inspection, termite inspection and foundation inspection. These all cost money.

5. If good proceed with purchase else cancel deal.

Isn't this hard to do since you have to first go with the realtor to see the house. Then you need access for each of these walk through's which again may need the realtor there for each of these people to gain access. Wouldn't it also be hard to get all this done in the short option period you have.

Am I getting all this wrong and this isn't the process at all? Is there even this option period I talk of. Maybe I am being overly cautious and you don't do any of this.

Appreciate any feedback.

Thanks,

Ron

[Curt Davis]

@Ronald Stark

Are you buying in your local area?

#1 and 2 are correct.  Once you pay the earnest money and the contract is signed by both buyer and seller it is considered executed and you now have x amount of days for you todo all of your due diligence.  Most buyers ask for about 10-14 days.  During this time you can back out for any reason. Do the home inspection, have contractors look at the place, etc..  Make sure to get all your contractors there at the same time to minimize your agent having to do all of this.  I would assume you would be there also unless your buying long distance.

P.S.  Have your contractor give a bid before you make an offer, that way you wont waste everyone including yourself time.

Also your Realtor can walk you through the process.

Good luck