Before the process of due diligence, what price goes on the purchase agreement; sellers asking price or your proposed price?

mobile home university
1

Before the process of due diligence, what price goes on the purchase agreement; sellers asking price or your proposed price?
I have located a park that I’m interested in purchasing. I’d like to submit a purchase agreement; however, I’m unclear if the agreement should contain the sellers listing price or my proposed offer before I complete due diligence?
Thanks,
AJ

2

If the seller has agreed to your proposed offer, put that in your agreement. If not, but he understands the price may change based on your findings, put his asking price in it. I would have a statement saying something like ‘seller understands that during my due diligence I may discover certain things that may affect the value and my offer will likely change…’

1 Like
3

If it’s an unagreed offer you want to look serious, your offer price. If the price is agreed , the agreed price. Plus add the language noted above and “subject to reasonable financing available.” Financing should cover insurance, too.

1 Like