We put in an offer

Screen shot 2013-06-18 at Jun 18, 2013, 8.42.18 PM

Well that was fast. Yesterday Girl Ninja and I walked through a house, only to find us back in the same house two hours later for an inspection. Yes, things progressed that quickly.

We liked the house, loved the lot, and it’s well within our budget. When those three stars aligned, we knew we’d probably be writing our first offer ever as buyers.

It’s exciting and terrifying.

After viewing the property our agent called the listing agent and found out the sellers will be reviewing all offers this morning at 10am. The listing agent also informed our agent that another potential buyer had already conducted a pre-inspection on the property. This meant, if Girl Ninja and I wanted our offer to be seriously considered, we would also have to have a pre-inspection so we could waive the inspection contingency in our offer.

We looked at the house at 10am, and by 2pm we had a full inspection report in our hand and a sewer scope done on the property (highly recommended for old homes). Both reports came back clean with no significant concerns.

OMG. Is this really happening?

Part of me was hoping there would be a huge foundation issue, or that the roof would need to be completely replaced. If there was, we’d be too scared to write an offer because we’d fear the property was deficient. Unfortunately, our home inspector said the home is in great shape, and he found no red flags.

List price on the house is $340,000.ย It’s a 3 bedroom, 1 bathroom, 1,900 square foot house on a level 0.35 acre lot.ย 

After talking with our Agent and our potential lender we have made the following offer….

  1. Offer Full asking price, with an escalation clause up to a max price of $357,000 (increasing in $2,500 increments). If you aren’t familiar with escalation clauses it basically means that we will pay at minimum full list for the property, but if they receive other offers, we will pay $2,500 more than any competition up to $357,000. Instead of just offering to pay $357,000 up front, this helps us get the house for a lesser amount if we are the best offer. Of course, we will be putting 20% down.
  2. We will waive the inspection contingency. Since we had the sewer scope and home inspection done yesterday, we don’t need to include this in the offer.
  3. We will offer a quick, or long, closing. We are flexible. If they want out in 30 days, we can take possession then. If they want to take their sweet time, we can wait 60 days. I think they have moved out so my guess is they will want to close quickly.
  4. We are waiving the financing contingency. Yes, I just said that. After doing a good bit of research and talking at length with our lender and agent, think this could be the thing that makes our offer the strongest. It tells the seller not to stress and that we will be able to close the deal. With our strong credit, huge down payment, stable employment, and the house being priced $200,000 less than we were pre-approved for, we shouldn’t have an issue finding financing. Is this a gamble? Sure, I guess there could be some freak reason I can’t think of, that every bank would reject us. If that happens, the sellers get to keep our $10,000 earnest money.

And that concludes our offer. Obviously, if the other party that had theย pre-inspectionย offers all cash, we don’t stand a chance. We think our offer is strong, but reasonable. By the end of today, we should know if the sellers agree ๐Ÿ˜‰

p.s. here are a few pics….

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37 thoughts on “We put in an offer

  1. Looks friggin awesome, even photo shopped ๐Ÿ˜›

    I wish you the best of luck!

    P.S. You should have included a picture of you guys smiling in your offer ๐Ÿ˜› hehe

  2. For the most part it looks very nice. The only thing I don’t care for is that ceiling beam in the living room. How do you feel about that?

    • While no beam would be better, we’d much rather have the beam and an open feel than a wall which we assume is what used to be there.

      • You could have someone take a look at it, but it looks like an “engineered” beam to me.

        I agree, I would rather have an open space than a wall, or even a random column in the middle

  3. Wow. I certainly am praying for you guys to get this gorgeous house. It’s beautiful! I can’t wait for you update to let us know that you got it. Wishing you both the best in your new house. =D

  4. Beautiful home!! I really hope you get it!!

    When we put in an offer for our townhouse last Sept, we waived the home inspection (house in only 23 years old), financing (pre-approved for over $100K more than purchase price), and the sale of our condo (in the city we lived in, price your place right, and it’s snapped up in 2 days… and that’s exactly what happened). Turn-key townhouse listed at $269,000, we offered $250,000… they came back wanting full asking and we agreed (every inch of the house had been renovated over the past 2 years, and everything was what we would’ve picked). The place was on the market for 1 hour before we saw it; had we waited to put in the offer, there would’ve been a bidding war FOR SURE!

  5. Wouldn’t it be funny if the owners of this house also happen to be fans of your blog and were shocked to see photos of their home here?

    Writing big cheques can knock the wind out of you just the same as if you had been hit in the chest on the football field.

  6. We’re in the same boat currently. We have a home we’ve put an offer in on, doing the home inspection today. Toronto real estate sucks! We paid $450K for a semi-detached that has nothing on that home. Its gorgeous! Good luck guys!

  7. Actually I think the kitchen is an especially strong point. (As are also the patio and yard, and the amount of natural light you’d be getting.) You have a lot of counter space in the kitchen, and the L-shaped layout makes access to the refrigerator easier. Cabinets are nicely designed, you have ceiling track lighting, and overhead storage for pots and pans will save space. I’m not a fan of the lime-green paint job myself, but that’s easily changed if you prefer a different color. Overall the house has a nice, light, airy feel to it.

  8. My 5 year old son is into jokes right now and he happened to be sitting next to me while I read this post, I’ve already heard “We’ll take it.” “But you haven’t even seen the inside yet.” about a dozen times. I think this is going to be a new dinner table favorite ๐Ÿ˜‰ Congrats on the offer! House looks fantastic. As a recent WA local and current CA local, I would love to know the lot size!!! That yard looks ridic!! (And Kiernan also wants to come over and run all around the yard, that was his favorite pic ๐Ÿ™‚

  9. Congrats on the offer. When I saw the pictures I thought… I know that house!

    Yep, sure enough, it is 3/10th of a mile from the house I used to live in before we moved to Arizona.

    It will be great for when you have kids right near a good elementary school. Good luck!

  10. Wow, what a huge lot and big house for just one bathroom. We bought for $340K two years ago but in LA County so our lot is considered big at 6,000 sf and our house is considered big at 1,750 sf for 3 bed/2.5 bath. Our offer was accepted partially because we offered to close in just 21 days. It ended up being 23 but it all worked out just fine.

  11. I love that deck. Wow.

    The entire house is awesome. These real estate prices amaze me though. I live in an almost exact same size house with 4 acres for less than half the cost!

  12. Congrats! I just bought a house as well that I’m really excited about. It’s how I happened upon this site. I keep googling things like “Holy Shit, I just bought a house!” and all sorts of sites talking about maintenance ideas. Fun stuff.
    This blog seems like a really good way to keep your finances in order for you and GN. I should consider starting one with my pirate (my GF and I are pirates because pirates > ninjas).

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