Today I wanted to address section 8.3i in the purchase contract and why it matters.
Although the Utah Real Estate Purchase Contract was written by lawyers, as Realtors we can still fill it out. This is critical, because as Realtors how we fill out the contract makes or breaks if you get your offer accepted. This shows that who you hire is so important, because they might not even know how to use this provision in the purchase contract.
The purpose of 8.3i is to make some or all of your earnest money non refundable after the due diligence deadline.
So why as a buyer would you want your money to be non refundable after due diligence? Mainly because if you are in a competitive situation, and there are multiple offers, it makes your offer stand out. This shows the seller that you are more committed to that purchase than anyone else who has written an offer.
The situation itself is a win-win because it not only gives you leverage as a buyer, but it also gives you enough inspection time to make sure that you are comfortable.
I recently heard a story of a Realtor who asked the buyer to put a certain amount of earnest money in 8.3i, and the buyers agent refused. As a consequence, the buyer actually lost the house. This example to me just reemphasizes the importance of showing the seller how serious you are as a buyer
With all that is going on in the world and with real estate, who you hire has never mattered more. If you have any questions about the Utah Real Estate Purchase Contract, reach out to me and I would love to help.
