In a busy market like this, often properties get offers on them right away. Usually, when an offer is made, it is pending for about 10 business days. The buyer gets to lock the property in, while they do what is necessary to remove their conditions. Approximately 75-90% of the time, deals do come together, (conditions are removed and the house becomes officially sold). However, sometimes, deals fall apart. Often it is one of two things, (there can be more). People do not get their financing, or something comes up in the property inspection that cannot be worked out between the buyer and seller.
Sometimes, when an offer is pending, people will write a backup offer. A backup offer ensures that you are first in line, should the currently accepted offer collapse. Often there is a sellers’ condition in a backup offer that is something like:
“this is a backup offer, and will come into play should the currently accepted offer collapse”.
If you are in love with a property that currently has an offer on it, you can write a backup offer. Your REALTOR® should explain the pros and cons of doing this. Some people may want to wait, to see if the offer collapses and then write an offer. This allows you to keep looking in the meantime. However, if you wait, someone else could come in before you with a backup offer. If your backup offer is accepted, and you are waiting to hear what is happening with the first offer, then you might feel stuck if you come across a better home during that waiting period. Make sure you contact your REALTOR® so you know your options.