Bend Oregon real estate contingency periods
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Hi everyone and welcome to another episode of the Bend Real Estate Minute at BendBrokersRealty.com. I am Thom Gardner, Principal Broker and Pure Buyer’s Broker at Bend Brokers Realty.
So today, I’m going to talk a little bit about the standard Bend Oregon real estate contingency periods when making an offer. Most of you probably live in different states and may have different contingency periods where you live. So here we go. I call these the basic 5/5/10 and the infinite one.
All of these Bend Oregon real estate contingency periods start the day after we get the material in question- the morning after on the next business day. Let’s say we get your disclosures on the 5th. The contingency period is going to start the morning of the 6th if it’s a business day.
The first two are five business days. First we have the Preliminary Title Report, and Codes, Covenants and Restrictions, which are the rules for your neighborhood. As I said, this period runs five days. The next one is the Disclosures, which are on a four-page form that the seller has to fill out about everything they know that is wrong, or not wrong with their home, all of the systems, et cetera. That is also five business days.
Now, the biggest of the Bend real estate contingency periods and the most important one that people generally tend to pull out on, if they’re going to pull out of a real estate deal is the Inspection contingency. This one is 10 business days. Now, that starts the day after– again that’s a business day – we get a deal on a home.
So in that 10 business days, we have to 1) obtain an inspector and get them to inspect the home, 2) get the report back, which usually takes 12 to 24 hours and, 3) this is important, we have to negotiate all repairs on the home based on those findings in the inspection report during that 10 business days. So that’s the one that can be a bugaboo. If we don’t hear back from a Bend seller in that 10 business days, we can ask to extend that period. If they don’t, then we either pull out or we decide to go ahead and trust them, which is never generally a good policy.
Now, the infinite one is the loan. If you’re getting a Bend Oregon real estate loan, and a little over half of my clients are cash these days, but if you get a mortgage, you have to be able to obtain your loan, and that runs right up to closing. If you’re denied your loan at closing, and believe me, this does occasionally happen, you’re generally still going to get your earnest money back.
And most importantly as well, even if you are paying cash, the Bend Oregon real estate has to appraise. If the home does not appraise for the value in the deal, the whole thing starts over again and you can pull out or renegotiate with the seller if they will do so.
Now lastly, we can write in contingencies for anything you want, a contingency on your home selling where you live now or a contingency on the Yankees winning the World Series. I mean you can literally write anything you want. Of course, the key is that the seller has to accept!
There you go, there are your main Bend Oregon real estate contingency periods. Again, this is Thom Gardner, Principal Broker and Pure Buyer’s Broker at Bend Brokers Realty. This has been the Bend Real Estate Minute. Take care.