Ready to Make an Offer? Check These Off First

Things to Do Before Making an Offer on a House

Buying a home is a big deal. When you finally find one that feels like “the one,” it’s easy to let emotions take over. But before you rush to make an offer, take a breath. A little preparation can save you money, protect your interests, and help you make a clear-headed decision.

Here’s what to do before you put anything in writing.

✅ 1. Get Preapproved for a Mortgage

If you haven’t already, this is step one. A preapproval tells you how much a lender is willing to loan you based on your income, debts, and credit.

More importantly, it shows sellers you’re serious and ready. Without it, your offer might not be taken seriously, especially in a competitive market.

Ask your lender for a preapproval letter. It’s usually good for 60 to 90 days and will include your approved loan amount and interest rate.

✅ 2. Review Your Budget—Not Just the Bank’s

Just because you’re approved for $400,000 doesn’t mean you should spend it. Don't max out your budget when buying a home.

Only you know your comfort zone. Look at your monthly expenses, things like childcare, student loans, or travel, and figure out what mortgage payment you can actually manage.

Remember to factor in taxes, insurance, and HOA fees, if any. Give yourself room for unexpected costs.

✅ 3. Have Your Cash Ready

If you’re serious about making the offer, make sure you physically have the cash ready to go. This usually includes earnest money (a deposit you make when your offer is accepted) and closing costs. You may also need money for the inspection and appraisal.

Make sure your funds are available and in an account you can access. If your money is tied up in investments or needs to be transferred, handle that early.

✅ 4. Research Recent Sales in the Area

Before making an offer, ask your agent to show you what similar homes have sold for nearby. These are called “comps,” and they help you understand the home’s market value.

Is the home priced fairly? Are there other homes with similar features that sold for less? This info helps you decide whether to offer full price, below, or above asking.

✅ 5. Understand Contingencies

Contingencies are conditions built into your offer that protect you. Common ones include:

• Home inspection contingency (you can back out or renegotiate if major issues are found)

• Financing contingency (the offer is valid only if your loan is approved)

• Appraisal contingency (if the home appraises for less than the offer, you can walk away)

These terms matter. They protect your money if things don’t go as planned.

Talk with your agent about which contingencies are standard in your area and which ones might make your offer more or less competitive.

✅ 6. Walk Through Again With a Clearer Head

A second showing gives you a chance to slow down. Look past the pretty staging and pay attention to details.

Turn on faucets. Open closets. Listen for traffic noise. Ask about the age of the roof, HVAC, and appliances.

✅ 7. Talk to the Neighbors

If possible, chat with someone who lives nearby. They can tell you what it’s really like to live there, things you won’t find in the listing. As you choose the right home, it is also important to choose the right neighborhood to live because it factors into your daily life.

Ask about traffic, noise, safety, or how the street feels at night. You might learn something that confirms your decision, or gives you second thoughts. A quick conversation can give you real peace of mind.

✅ 8. Talk Openly With Your Agent

Your real estate agent is your guide through this process. Don’t hold back.

Tell them how much you love the house, but also share your concerns. Ask how the seller is likely to respond to different offer terms. In some markets, a fast closing or larger earnest deposit can matter more than price.

Let them help you craft an offer that works for both sides.

✅ 9. Sleep on It (Unless Time Is Tight)

Unless it’s a hot market and homes are selling within hours, give yourself a night to think. Talk it over with your partner or a trusted friend. Double-check your budget. Look at the photos again. Buying a home is both emotional and financial. A night’s sleep can help bring clarity.

FAQs

Can I offer below asking price?
Yes, but talk with your agent first. If the home has been sitting for a while or is priced too high, a lower offer might make sense. In a competitive market, though, you may need to offer full price or more.

What happens if someone else offers at the same time?
The seller can choose to accept one offer, counter one, or ask for highest and best from everyone. Having a preapproval and strong terms can give your offer an edge.

Final Thoughts

It’s exciting to find the right house, but don’t skip the prep work. Take your time, gather information, and lean on your agent to guide you through the process.

When you’re ready to make an offer, you’ll feel more confident and better protected.

Thinking of making an offer soon? Talk to your agent about what to expect and how to get ready.