Amendments vs Waivers

09 August 2018
amendments vs waivers

Amendments to offers are a crucial part of the bargaining process. Many agents attempt to use an amendment as a substitute for waiving a condition, usually in favour of the buyer. For example: suppose there is a condition on a home inspection. The buyer things he has found a major problem. Their agent prepares an Amendment to waive the home inspection by deleting the clause. They also delete the accepted price and introduce a new lower price. The Buyer signs.

But wait, an Amendment also requires the signature of the Seller. What happens if the Seller refuses to sign? The Amendment is voided and you go back to the original Agreement.

We just had a case where the Buyer outsmarted themselves. They came with an Amendment, the Seller did not sign, and the Buyers ran out of time. They did not waive their condition within the time frame, making their Offer null and void. The Sellers were then free to deal with another Offer. The first Buyer was left with nothing to show.

That's why you need a savvy agent who can manage the timing and intricacies of the Offer.

Want to impress your friends with your real estate market knowledge? Subscribe to our monthly market report!