PURCHASE CONTRACT AND ESCROW INSTRUCTIONS - Any downsides

[Kasi V.]

Hello fellow investors,

I recently listed my property on Zillow as FOR SALE BY OWNER. Within days, I received several calls and emails with offers to buy under PURCHASE CONTRACT AND ESCROW INSTRUCTIONS. They sent me a contract to sign with the purchase price and timeline.

My concern is how they can provide a price without even inspecting the property. Additionally, repair costs (if any),  all closing costs are covered by the buyer, and there is no commission!

Is there a catch? What are the potential downsides of this process? What clauses should we be careful of? While under contract, can we still offer to sell to others?

Thanks for the help.

[Corby Goade]

I don't mean to be rude here, but the fact that you are getting offers and you aren't sure what they are or the strategy behind them tells me that you shouldn't be doing a FSBO.

Understanding the strategy and terms behind offers and a P&S is where hundreds of thousands of dollars can be won or lost. The purchase price is just one, small piece of the puzzle.

I'd reccomend that you interview a few agents or brokers to help you list. You'll get better exposure and professional representation. A good agent will more than pay for themselves in profit, time and stress.