Once you've found a home you love, the next step is making a compelling offer. While emotions are probably in high gear once you've found a home you love, it's important to remember that a home is an investment. Your agent will research similar properties in the neighborhood to help you determine the market value, and fair price, for your home. Look to your agent to explain and guide you through the offer process. The three basic components of your purchase offer are price, terms and contingencies. Price is the dollar amount you are approved for, willing and able to pay. Terms cover the other financial and timing factors that will be included in the offer. Contingencies are clauses that let you out of the deal if the house has a problem that didn't exist or which you weren't aware of when you went under contract. They specify any event that will need to take place in order for you to fulfill the contract.
Step 5: Make an Offer