www.4BackupOffers.com

If what you are looking for, in a property to purchase seems to be atypical or rare either because of your criteria or because of limited inventory/supply, or for both reasons, then if you find a place that interests you and the other place checks off enough boxes that you would want to submit an offer, however another buyer has already had their offer accepted by the seller, then you may want to submit a Back-Up Offer where you will be the second-in-line to buy the property if the Primary/First Buyer is unwilling, or unable to close on the purchase.

The beauty of a Back-Up Offer is that as a Back-Up Buyer, you won't spend any dollars on the property for inspections or appraisals etc., until you are the Primary Buyer. You can also continue to look for other properties that will fit your needs. And, if you find something you like as well, or even better, and you are not yet the Primary Buyer, then you can terminate your Back-Up offer, receive your earnest money back, and submit an offer on the new property without missing a beat!

Along with all of the usual and typical terms, timelines and contingencies, within any offer, the Back-Up Offer Addendum adds/changes a few items.

The first change is the Back-Up Offer will typically automatically end after either 30, 45 or 60 days from acceptance, or when the Primary Buyer Closes on the property, whichever happens first. This timeline though can be extended in writing by agreement of all parties. Additionally, ONLY the Back-Up Buyer may withdraw the Back-Up Offer at any time in writing prior to receipt of a signed Mutual Release on the primary Purchase Agreement. This Means the Back-Up Buyer can change their mind because they found another property, or the Back-Up Buyers can change their mind for any reason as long as they are still the Back-Up Buyer, versus having already become the Primary Buyer after the buyers, or their agent, have received a copy of the executed Mutual Release between the Seller and the Primary Buyer!

The second change is that timelines, like the number of days for the inspections, or the days to gain the Buyer's mortgage clear to close, and to close on the purchase etc., in a typical purchase agreement would start counting with day 1, being the first day after acceptance of the Purchase Agreement. With a Back-Up Offer, except for the delivery of the Earnest Money, the time periods instead of starting on the "date of acceptance," the dates will start on the date of "receipt of Mutual Release" from the prior Purchase Agreement. So, if Earnest money, per the Purchase Agreement is to happen within 24 hours that still happens. However, if closing is supposed to happen within 30 days in a Back-Up offer that would be within 30 days from the date of the "receipt of Mutual Release" from the prior Purchase Agreement.

The last major change, along with any items that may be submitted within the Further Conditions of the Back-Up Offer Addendum, is that if the Back-Up Offer is terminated in writing, or the Buyer withdraws this Back-Up Offer, then all of the earnest money deposited with the Back-Up Offer shall be returned to the Buyer promptly!