Here is an offer to purchase template and facts you need to know

Here is an offer to purchase template and facts you need to know

Home ownership is a topic that is often in the minds of many people who desire and dream of owning a home one day. There are some whose plan is to purchase an already-built home whereas some would want to have the house built using their specifications. But what pertains to owning a home? Is it just making a payment for your dream home and moving in?

offer to purchase template
Image: (modified by author)
Source: UGC

There are specific requirements that are mandatory when you decide to purchase a house. You must receive an offer to purchase template. This is a document that any potential buyer of a house presents to the prospective seller to express their desire and interest in purchasing the property. Once the seller goes through the offer to purchase form, they can decide either to accept or decline the form. Here is what you should know.

How to accept an offer to purchase letter?

Read also

5 tips to make buying a car online a whole lot easier

Acceptance to the proposal by the seller is shown by placing one’s signature on the offer to purchase contract.

offer to purchase template
Source: UGC

Offer to purchase real estate template

There are various forms of an offer to purchase template, including an offer to purchase template South Africa word document and an offer to purchase form private sale South Africa. Here is a list of standard examples of the document for you to choose one that meets your needs best:

  1. Template 1
  2. Template 2
  3. Template 3
  4. Template 4

How do you make an offer to purchase?

The document is prepared by a buyer and presented to the property seller to express interest in buying the property at hand. The document should have certain particulars which include:

  • The buyer’s particulars
  • The commission owed to the agent of the estate or broker as agreed upon by the parties involved
  • The occupation date – this refers to when the seller is expected to vacate the house to allow the buyer to move in
  • The occupational rent – this refers to the rent that the potential buyer pays before fully paying off the property price while still occupying it
  • The cost of the property
  • The property’s information as it is described on the title deed
  • The seller’s particulars
  • The special conditions if any

Read also

Sell my car fast! The best options to safely sell your car

offer to purchase template
Source: UGC

Can you pull out of an offer to purchase?

The answer is no. Once a seller accepts the proposal to purchase contract, it becomes legally binding to both parties. This means that if either party does not follow through the set agreement, the other party is allowed to pursue legal action against them. This means that before making or accepting a proposal, it is always wise to double-check the facts at hand.

It is advisable to confirm your liking once more. Is the property located in your desired location? Do the aesthetics, price, and fittings match your preferences? Once you are sure of such matters, you can go ahead and prepare the offer to purchase template.

READ ALSO: Free share certificate template

How long is an offer to purchase valid for?

The document is valid in most cases, but there are four instances when it is termed as invalid. They are:

Read also

Crucial details about the Trace Urban filmmaking competition

When the buyer retracts the offer

The buyer can at any time revoke their proposal after presenting it to the seller, but only before the seller signs it. Interesting to note, if signed by the seller, it becomes legally binding.

When the seller rejects the offer

If the seller of the property turns down the proposal presented to them, then it is not legally binding to the parties.

When the specified time on the offer to purchase lapses

The buyer always indicates a specific time on the document, which they expect the seller will use to read the proposal and sign if they are interested in the deal. However, if the time allocated comes to an end, the offer is declared null and void.

offer to purchase template
Source: UGC

When either party dies

If either the potential seller or buyer dies before signing the proposal, it is declared null and void. However, if the signing of the document has already taken place, the responsibilities of the offer are passed down to the deceased estate.

Read also

Detailed guideline on how to get divorce in South Africa

What happens after offer to purchase?

Once both parties meet their obligations to the agreement, the buyer becomes the new owner of the property.

Facts you need to know

  • Errors do not make a contract void – they can be corrected through unambiguous and worded amendments. However, it is wise that both the buyer and seller formally recognize the changes by initialling next to them on the document.
  • All blank spaces must either be filled in or deleted from the document.
  • Inappropriate clauses must be deleted from the document.
  • To avoid confusion or outright invalidation, the phrase “To be agreed upon” should not be used to fill in any blank space.

With the above-detailed information on an offer to purchase template, you can be sure of having a smooth transaction when buying or selling a property. You will be more knowledgeable in knowing what to expect in every step of the way.

Read also

The different types of Absa credit card options in South Africa

DISCLAIMER: This article is intended for general informational purposes only and does not address individual circumstances. It is not a substitute for professional advice or help and should not be relied on to make decisions of any kind. Any action you take upon the information presented in this article is strictly at your own risk and responsibility!


  • Free sworn affidavit template
  • Free South African payslip template doc and download links 2020
  • How to register a business in South Africa

Source: Briefly News

Online view pixel