Making the Offer

Often, the Agreement starts with your offer to purchase the home from the builder. Once you sign the offer, it is binding on you, i.e. you have agreed to all the terms and conditions set out. If your builder accepts the offer and signs the Agreement, it becomes binding on both parties. Similarly, if your builder presents you with a contract, it is an "offer to sell" that becomes legally binding on both parties once you accept.

When you are not dealing directly with the builder, the sales representative may not be able to "close the deal" on the spot without a review by the builder. Approval or counter-offer is usually quick. However, you may consider adding an irrevocable date to your offer—a deadline for the builder's response, after which your offer is no longer valid.

Before signing anything, you need to carefully review the contract document. Take your time and make sure that all points are covered and that all Schedules are attached and noted in the Agreement.

It is also recommended that you have a lawyer review the Agreement of Purchase and Sale before you sign it. Alternatively, you can make your offer conditional on a favourable review by your lawyer. It is sometimes wise, and less costly, to agree with the builder on price and terms before involving a lawyer. (If you cannot reach an agreement with the builder on these fundamental points, there is no need to pursue the contract any further.) This condition, like all other conditions, should be written into the main body of the Agreement of Purchase and Sale, or attached as a separate Schedule with a brief notation in the main text.