Use Contingencies To Make An Offer

In my 37 years of experience as an Alabama real estate broker, appraiser, and forester, I’ve learned that there are no perfect properties or perfect deals.  So, if you’re ready to make an offer on some rural land but the property has a few issues that you’re concerned about, my advice is this: don’t hesitate and lose the opportunity – make an offer but use “contingencies” to deal with the issues.

A contingency says, “I’ll buy the property only IF certain events happen prior to closing”.  For example, if you must borrow money to close the purchase, make getting a loan commitment a condition for purchase.  If a neighbor’s driveway is over a property line, require the seller to resolve the issue to your specifications prior to closing.  I’ve seen solutions that include moving a driveway, obtaining an affidavit from the neighbor regarding terms of use, surrendering ¼ acre and lower the price, etc.

The point is, many problems have good answers.  So, don’t let resolvable issues keep you from moving forward with an offer on a good property.  With well-written contingencies, you’ll be first in line to buy the property.  Then, either the issues will be resolved to your satisfaction or you’ll get your down payment back.