2 October 2025

Understanding the Process of Responding to a Home Purchase Offer

What are the first steps to follow when you receive a purchase offer?

Here is how you could proceed when you receive a purchase offer, keeping in mind that you may be new to this:

1. Read carefully: Take the time to thoroughly read each element of the offer. Note key points such as the proposed price, important dates, and any special conditions that could influence your decision.
2. Seek advice: It is often very beneficial to seek the opinion of experienced professionals. A real estate broker, lawyer, or notary can offer valuable perspective and help you understand the nuances of the offer.
3. Consider a counter-offer: If the offer received does not fully meet your expectations, consider making a counter-offer. This allows you to negotiate more favorable terms while remaining open to discussion.
4. Respond promptly: Buyers generally expect a response within a short period. By responding quickly, you show your seriousness and your willingness to move toward a positive conclusion.
5. Negotiate with confidence: Negotiation is a natural step in this process. Approach it with confidence and be prepared to discuss the points until you find common ground that satisfies all parties involved.

These steps will help you navigate the process of responding to a purchase offer with more peace of mind and efficiency.

Who should you consult for advice when responding to an offer?

To obtain relevant advice when responding to a purchase offer, turn to these experts:

1. Real estate broker: A real estate broker has practical market knowledge and can provide guidance on trends, realistic pricing, and the offer’s details. They can also guide you in preparing your response.
2. Notary: As an expert in real estate transactions, the notary ensures the legality and security of the documents. They make sure all legal aspects of the transaction are properly handled.
3. Specialized lawyer: If the offer is particularly complex or disputes arise, a real estate lawyer can provide a more in-depth legal perspective and represent you in case of a dispute.
4. Chartered professional accountant: When a sale involves complex financial matters, an accountant can help you assess the tax impact of the offer, especially if tax issues or financial structure are at play.
5. Financial advisor: A financial advisor can help you plan your financial strategy after the sale, taking into account the implications for your investments and future projects.

These professionals can provide a comprehensive perspective to help you make a clear and well-informed decision.

Response Deadlines for a Purchase Offer

How much time do you have to respond to a purchase offer?

The time to respond to a purchase offer depends on the conditions specified in the offer itself. Often, a period of a few days to a week is granted. However, some offers may include shorter or longer deadlines depending on the buyer’s preferences or market requirements. It is crucial to respect this deadline to avoid the risk of the buyer withdrawing.

If you need more time to consult a professional or to consider a counter-offer, communicate this promptly to the buyer to clarify your intentions and maintain a good relationship.

Seek a professional’s opinion

What happens if you exceed this deadline?

If you exceed the allotted time to respond to a purchase offer, the buyer is no longer legally bound by their proposal and may decide to withdraw or modify the offer. This may also give the buyer the impression that you are not serious or responsive, reducing the likelihood of reaching an agreement. To avoid this, make sure you fully understand the deadline and, if necessary, request an extension by clearly communicating your intentions to the buyer.

Techniques for Responding to a Lowball Offer

How do you respond to a purchase offer that is too low?

When you receive a purchase offer that you consider too low, here are some tips on how to react:

1. Maintain a professional attitude: Remain courteous and appreciative of the buyer’s interest. This helps maintain good relations that may prove valuable during negotiations.
2. Assess the rationale: Analyze why the buyer might have proposed a lower amount. Is it a negotiation tactic? Did they notice issues you underestimated? This reflection helps you understand the buyer’s logic.
3. Research the market: Compare the offer to the market value for similar properties. If the market has declined or your initial price is overestimated, it may be wise to reassess your expectations.
4. Make a counter-offer: If the offer is too low, come back with a counter-offer that is more realistic and acceptable to you. Clearly indicate the non-negotiable aspects, such as the minimum price or certain conditions.
5. Add value: If the buyer does not want to increase their offer, propose additional advantages to make the deal more attractive, such as repairs, a flexible closing timeline, or concessions on certain fees.
6. Explore other buyers: Do not feel obliged to accept an offer that is too low if it does not meet your expectations. Continue to look for other potential buyers.

These tips will help you manage a low offer while maintaining a strong negotiating position.

What arguments can you use to negotiate a counter-offer?

1. Market value:
   • Make your case using comparisons with similar properties sold recently in your area. Concrete data will strengthen your position.
   • Example: “Similar homes in our neighborhood are selling on average for X dollars, which supports our counter-offer of Y dollars.”
2. Recent improvements:
   • If you have completed recent renovations or improvements, highlight their impact on value.
   • Example: “The recent kitchen and bathroom renovation has increased the home’s value, which supports our asking price.”
3. Associated fees and costs:
   • Emphasize the fixed and variable costs you have incurred, such as maintenance fees and property taxes.
   • Example: “Maintenance and renovation costs, combined with property taxes, justify our price adjustment.”
4. Market demand:
   • If demand for similar properties is high, indicate this as evidence of price stability.
   • Example: “The market is currently very competitive, and properties in this range are selling quickly.”
5. Prime location:
   • Highlight specific location advantages, such as schools, transportation, or shops.
   • Example: “Proximity to schools and public transit makes this home particularly desirable.”

These arguments can strengthen your counter-offer depending on the situation.

Formalizing Your Response to a Purchase Offer

How do you draft a formal response to a purchase offer?

Sample message:

[Your Name or the Name of the Real Estate Agency]
[Address]
[City, Province, Postal Code]
[Email Address]
[Phone Number]
[Date]

To the attention of [Name of the purchasing party],

Subject: Response to your purchase offer for the property located at [full property address]

Dear Sir/Madam,

We have received your purchase offer dated [offer date] regarding the above-mentioned property and thank you for your interest. After a careful review of your promise to purchase and in consultation with our advisors, we have decided to proceed with a counter-offer.

We understand and appreciate the effort put into your initial proposal; however, after considering previous counter-proposals and current market conditions, we believe that our counter-offer better reflects the fair and equitable value of the property.

Please find attached the details of our counter-offer. We are confident that it provides a fair framework for concluding a transaction that would be beneficial for all parties involved. Our counter-offer remains open for acceptance until [deadline], after which it will be considered void.

We remain at your disposal to discuss this proposal or to answer any questions you may have regarding the terms of this offer. We hope our response will be well received and we look forward to hearing from you.

Please accept, Sir/Madam, the expression of our highest regards.

Sincerely,

[Your Signature (if sent by mail)]
[Your Full Name]
[Your Position, if applicable]