Making Firm or Conditional Offers When Buying a Home

When bidding on a home, one of the most important things to consider is what type of offer to make. Do you want to make a firm offer, or are you willing to make a conditional offer? What’s the difference between the two? How do you know what offer would be most beneficial for you? In this blog post, we’ll discuss the pros and cons of firm and conditional offers so that you can make the best decision for your situation.

What Is A Firm Offer?

A firm offer is an offer to purchase a home that is not contingent on any additional financing or inspections. This means that you already have the finances in order to buy the property. You can’t negotiate for a lower price based on repairs that need to be made. Once the offer is made, the buyer is legally obligated to purchase the home – no backing out.

Pros Of Making A Firm Offer

  1. You don’t have to worry about your financing falling through. You have the cash on hand or have a pre-approved mortgage.
  2. A firm offer may give you an edge over other buyers making conditional offers, especially if the seller wants a fast closing date.

Cons of Making a Firm Offer

  1. If there are significant problems with the home, you’re stuck with them. You’re buying the home “as is.”
  2. If you change your mind about the home, or your financial situation changes, you could be forced to purchase a home you can no longer afford.

What Is A Conditional Offer?

A conditional offer is an offer to purchase a home contingent on additional financing or inspections. This means that you will not move forward with the purchase until you’ve gotten approved for a mortgage or had a home inspection.

Pros Of Making A Conditional Offer

  1. You can get out of the deal if you don’t like what you see. For example, if you do the home inspection and you learn there is a major roof problem, you can back out of the deal or request the seller to fix the roof first.
  2. You can negotiate for a lower price based on repairs that need to be made.
  3. A conditional offer gives you a few days to get your financing in order if you still need the go-ahead from your mortgage provider.

Con Of Making A Conditional Offer

The seller may not accept your offer, mainly if multiple competitive offers exist. A conditional offer is less certain for a seller, who may bypass your offer for a firm offer.


Making a firm offer can be a great choice if you’re certain about your financing and the property’s structural integrity. However, there are definite risks that come with a firm offer. You can’t back out of the deal if something goes wrong at the last minute. A conditional offer allows you that escape from a bad purchase if you need it. However, your conditional offer could be overlooked by the seller in a competitive market.

The most important thing is that you do your research and understand the pros and cons of each type of offer before making a decision. Our Port Alberni real estate agents are more than happy to help you navigate the home-buying process and figure out what type of offer is best for you. Contact us today to get started.

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