Wondering if you can make an offer on a house already under contract? While a property under contract is legally bound to the current buyer, various circumstances can cause deals to fall through, creating opportunities for backup offers. Understanding the backup offer process and its implications can put you in a strategic position if the original contract fails. 

In this blog post, Jacksonville realtor Phil Aitken and the professionals at Your Home Sold Guaranteed Realty - Phil Aitken Home Team will discuss whether you can make an offer on a house already under contract.

Key Takeaways:

• A backup offer is a legally binding contract that puts you next in line if the current deal falls apart.
• Being in a backup position doesn’t guarantee you’ll get the house, even if the first contract falls through.
• Your backup offer needs to be compelling enough to motivate sellers to consider it seriously.

Can I Make an Offer on a House Already Under Contract?

A backup offer is a legally binding contract that puts you next in line if the current deal falls apart. To make one, you’ll need to submit a complete offer package along with a specific backup contract addendum. This addendum outlines the terms under which your offer would become active.

Backup offers aren’t as rare as you might think. In recent years, 15% of contracts fell through nationwide. In Jacksonville, 26% of sales fell through. This creates genuine opportunities for backup offers to succeed.

When Backup Offers Make Sense

Not every property under contract warrants a backup offer, but certain situations make them particularly worthwhile:

• Properties in highly desirable Jacksonville neighborhoods
• Homes priced below market value
• Properties that meet specific, hard-to-find criteria
• Situations where the current buyer’s financing seems uncertain

Leading Jacksonville realtor Phil Aitken notes,

“The key is understanding the current contract’s status and potential weak points. For example, if the original buyer’s financing is shaky or the inspection period is still ongoing, a backup offer can be a strategic move.”

How Can You Make Your Backup Offer Competitive?

Your backup offer needs to be compelling enough to motivate sellers to consider it seriously. The best tips for making a strong offer include:

• Ensuring all your financing is in order
• Having a strong pre-approval letter
• Offering competitive terms that might exceed the current contract
• Being flexible with closing dates and contingencies
• Demonstrating you’re a serious buyer with proof of funds

Remember that sellers are already legally bound to the current contract, so your offer needs to provide clear advantages if the original deal falls through.

Protecting Yourself in the Process

While pursuing a backup offer position can be strategic, it’s essential to protect your interests. Don’t let your eagerness for a particular property lead to poor decisions. Continue looking at other homes and maintain realistic expectations about your chances.

In addition, consider including contingencies that protect your deposit and allow you to withdraw if you find another property while waiting.

Also, keep in mind that the backup offer process requires specific documentation in Florida:

• Standard Florida “AS IS” Residential Contract for Sale and Purchase
• Backup Contract Addendum
• Pre-approval letter or proof of funds
• Any property-specific addenda

Remember that being in a backup position doesn’t guarantee you’ll get the house, even if the first contract falls through. The seller isn’t obligated to accept your backup offer automatically, and they may receive other offers after the original contract terminates.

For this reason, maintaining proper perspective during the backup offer process is crucial. While it’s worth pursuing a backup position on your dream home, don’t stop looking at other properties. Jacksonville’s market moves quickly, and other opportunities may arise while you’re waiting.

Success with backup offers often comes down to timing, preparation, and working with an experienced real estate professional who understands the nuances of Jacksonville’s market. They can help you evaluate when a backup offer makes sense and how to structure it for the best chance of success.

Buy Your Dream Home in Jacksonville Today 

At Your Home Sold Guaranteed Realty - Phil Aitken Home Team, Phil Aitken and our team have been rated as the best realtor in Jacksonville. We’ve been in the business for many years and have helped hundreds of clients buy their dream homes in Jacksonville, including many first-time buyers. 

We make it easy to find your dream home, thanks to our Buyer Satisfaction Guarantee. This guarantee ensures you end up with a home that meets your budget and preferences. 

Have more questions about buying a home in Jacksonville with our team? Give us a call at (904) 544-5252 or send a message to [javascript protected email address]. You can also fill out the form on this page. Get ready to start packing!

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