When is an offer considered binding?

An offer is considered legally binding at the point where the seller accepts the offer as written and delivers written notification of acceptance to the buyer or the buyer’s representative.

• If the seller counters the offer, the offer is binding at the point where the buyer accepts the counter offer and delivers written notification of acceptance to the seller or the seller’s agent. Paragraph #37 in the West Michigan Regional Purchase Agreement serves as that written notification. It also clarifies that all other terms and conditions of the offer remain unchanged.

• Paragraph #38 isn’t required in order for an offer to be binding, but it does provide the ability to record in your transaction file that all signatures and notifications are complete. Your broker might also have an internal office policy that requires these signatures to show that all notifications are complete.