Definition
An informal expression of your willingness to purchase a property at a stated price, communicated orally rather than in writing. Verbal offers are not binding and should be followed by formal written agreements.
Not sure where this fits?
Answer a few questions and we’ll open the path that fits, at the right step.
Find my pathAbout this term
Real estate professionals may use verbal offers to gauge seller interest before preparing formal documentation. However, verbal offers are not legally binding and should always be followed up with a written contract. Verbal offers can help buyers and sellers establish starting points for negotiation more quickly.
Pro Tip
Never rely on a verbal offer. Always document your intentions in writing with a formal purchase agreement.
Example
The buyer's agent made a verbal offer of $420,000 to the listing agent to test the seller's interest before committing to formal paperwork.