Lake Tahoe - Truckee, CA Real Estate for Sale

The Basics Of Making An Offer in the Greater Tahoe Area | Buyer

The Basics Of Making An Offer in the Greater Tahoe Area | Buyer

The Basics Of Making An Offer in the Greater Tahoe Area | Buyer

A written proposal is the foundation of a real estate transaction. Therefore, you need to enter into a written contract, which starts with your purchase offer.

The purchase offer proposal not only specifies the price, but all the term and conditions of the purchase. There are a variety of standard forms used by agents and bound by both the law and local practice.  However, in the greater North Lake Tahoe area the predominate real estate contract used to buy and sell real estate is the California Association of REALTORS® (CAR) Residential Purchase Agreement (RPA), along with their library of supporting disclosures, documents, and forms.

Once the Tahoe buyer has signed their offer to purchase, it will be presented to the Seller/Sellers’ Agent by your Tahoe agent. While a Tahoe Buyers’ Agent does have the right to be present when the offer is presented to the seller, as a practical matter in our second home market this typically does not happen.  It does not put your offer at a disadvantage, it is just how most offers are handled in our area with our out-of-area sellers.

What the Tahoe Purchase Offer Contains:

The purchase offer you submit , if accepted as it is written, will become a binding sales contract (known as a purchase agreement).  The CAR-RPA has over 30 separate sections, and is currently 8 pages long with over 33,000 words in the document  that cover the different issues buyers and sellers need to be aware of.  It is important that it contain all the items that will serve as a “blueprint for the final sale.” The purchase offer includes such items as:

  • Address and legal description of the property
  • Sale price
  • Terms: for example, all cash or subject to the buyer obtaining a mortgage for a given amount
  • Seller’s promise to provide clear title (ownership)
  • Target date for closing
  • Amount of earnest money (initial and increase) deposit(s) accompanying the offer, and how it will be paid, personal check, cashiers’ check, or wire/electronic transfer.  Also included may be the disposition of the deposit should the buyer back out of the deal at a later date.
  • Method by which real estate taxes, rents, fuel, water bills and utilities are to be adjusted (prorated) between buyer and seller
  • Provisions about who will pay for title insurance, survey, termite inspections and other details
  • Type of deed to be given
  • Inspection(s) and inspection/contingency period of time to complete buyer investigations
  • Identification of all special contingencies – property investigations, appraisal, financing, sale of another property, water well, sewer, HOA, survey, and any other contingency a buyer,or seller may need
  • Other requirements such as disclosure of specific environmental hazards, seismic hazards or other locally-specific clauses
  • Home Warranty
  • Home Owner Association Disclosures
  • A provision that the buyer may make a final walk-through inspection of the property just before closing

At our first meeting I give all of my Tahoe Buyers a buyers’ packet.  One of the items that is in that buyers’ packet is a copy of the CAR-RPA, along with some other common contract forms list agency, the local advisories on buying real estate in Tahoe area so you’ll get a chance to see first hand what our local purchase contract covers.

There is a lot of detail that goes into the purchase contract and your Tahoe Buyers’ Agent is the one that will not only prepare your purchase offer documents for you, but will be there to guide you through the entire buying process.   Selecting a Buyers’ agent that has experience and is a seasoned negotiator can add significant value to your Tahoe real estate purchase.

Need more help in trying to figure out your Lake Tahoe Condo buying options? 

Do you want to learn more about the different neighborhoods, locations, developments and their amenities, HOA fees and the ones that will best meet your needs?  Call me at 530.414.1260 and I can help you find the right place to buy!

Overview and summary completed by:
Laura A. Allen | 530.414.1260  | Laura@TahoeLaura.com
BROKER ASSOCIATE, Tahoe Real Estate Agent
CalRE# 01473598
Coldwell Banker, Tahoe City, CA CalRE#01908304

All information is deemed reliable, but is subject to change, and/or correction without notice.
Buyers and Sellers should investigate and verify all information to their own satisfaction.

The Basics Of Making An Offer in the Greater Tahoe Area | Buyer