In real estate, when you're serious about buying someone's property, you make an
offer in writing. In California, REALTORS® use a specific form called the
California Residential Purchase Agreement and Joint Escrow Instructions.
Once you get beyond making or receiving a written offer, you'll hear the term
"ratified" bounced around. So what constitutes ratification and why is it
so important?
Hi. My name is Jason Allen Roman, and I'm a real estate agent in
Palm Springs, California. Buying or selling a home is an emotional process
for most people. On the buyer side, there's a lot of anxiety leading up to
the moment a seller agrees to your offer. On the seller side, especially if a sale
is crucial to a job relocation or some other big life event, waiting for a good
offer can be stressful. Everyone understands that agreements need to be
in writing and that the parties involved need to sign the agreement. That's basic
and makes sense. And since the parties to an agreement generally enter them
willingly with the expectation of some benefit, we think everyone is going to go
playing along until the deal is finished. The thing is that in real estate
circumstances can change very quickly, like in multiple offer situations or as
counter offers go back and forth and then a new buyer comes in from out of
the blue. So a good agreement for one party today may or may not be a good
agreement for the other party tomorrow. That's why getting final signatures
promptly and, thus ratification, becomes so important. Okay. So what exactly is
ratification? It's the moment when the last party signs the purchase agreement
and it's capped off when a good agent confirms with all players that the final
signature has been put on the dotted line. Without a ratified contract there's
the risk of either party backing out, and that's why it's so important! Imagine for
a moment making decisions based on the assumption that you have a great deal
one day, only to find out the contract wasn't ratified on the next? Oh, and laugh
all you want but, it's happened. Not on my watch! But it's happened. It's also
important to have an experienced agent on
side of the deal to avoid these sorts of problems. Now, I hope this helps and as
always, if you have any questions about buying or selling a home in California
reach out to me. If I can't answer your questions myself, I'll try and refer you
to someone they can. Oh, and before you go, please, if you found
this video useful, like it and subscribe to my youtube channel. That's all for now.
Thanks for watching
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