We all know that past experience can offer valuable lessons. One lesson in Palm Springs area real estate we see with buyer clients once or twice a month is the ‘Woulda, Coulda, Shoulda’ experience.
‘Woulda, Coulda, Shoulda’ usually happens when a prospective buyer finds a property that’s really just right for him/her. The home or condo has all of the potential buyer’s preferred features, a great location, and appears to be a solid value. Even when many of these prospective buyers believe that they have found the perfect home, they decide to take a few days to think it over. Makes sense doesn’t it? Not always.
On a regular basis under this scenario another buyer discovers the same dream property, acts on it quickly, and makes an offer, which is then accepted. A couple of days later, the first potential buyer decides that it really is the perfect home and shares what is sure to be great news with family and friends only to find out that another offer was accepted and the property is no longer available.
Avoiding ‘Woulda, Coulda, Shoulda’
There’s a simple and secure way to avoid this potential mistake that many savvy buyers take advantage of. When our buyers make an offer on a property we include a contingent period in the purchase contract that is usually 17 days. If and when the seller accepts the offer, our potential buyer has those 17-days locked in from the accepted offer date to complete due diligence and ultimately move forward or decline.
The due diligence period during escrow is known as the contingent period. Most of our buyers will ask us to order a property inspection, inspect any included inventory (if fully or partially furnished), and receive documents from the HOA for their review during this timeframe. At any time during the contingent period, and for any reason, a buyer can decide to pull the plug without penalty or obligation. The client’s earnest money deposit is returned and he/she is free to move on to another property.
While we don’t encourage offers on just any property, if we find a property that feels right, fits your budget and looks like a great value, consider making an offer ASAP to avoid kicking yourself later on. The property that looks best to you usually looks just right to other buyers too!