If you’ve made an offer to buy a property with a financing condition, and your lender is delayed in approving your mortgage, you can still proceed with the deal—provided you take action before the original deadline passes.
Here’s what you need to do:
- Amend Your Offer: You’ll need to request an extension of the condition-removal date. This should be agreed to by all parties in writing before the original deadline passes. Your real estate professional can help negotiate this new date with the seller.
- Seller’s Agreement: Most sellers are willing to accommodate a short extension, as they want the deal to go through as much as you do. The key is to ensure this amendment happens before the original deadline.
- Contract is Binding: The offer you’ve made is legally binding, and if you don’t waive your financing condition by the agreed-upon date, the contract will be void, and neither party has any obligations. The seller could even accept another offer.
- Timely Condition Removal: Conditions are important and should be taken seriously when setting your contract dates. Your real estate and mortgage professionals can help you determine a realistic timeline for satisfying conditions, including financing.
Remember, it’s up to both parties to agree on the condition-removal date. Sellers typically prefer shorter periods, as they want to avoid delaying the sale and losing potential buyers. If the condition date passes without an extension, and you’re able to waive conditions afterward, you would need to submit a new offer, which the seller must accept.
Every deal is unique, and your real estate and mortgage professionals can guide you through ensuring you meet your condition dates and avoid potential pitfalls.