Real Estate Terminology 101

“Final acceptance” sounds like something that happens in a hospice, or perhaps what Woody Allen has been seeking in therapy all these years.

Fortunately, the real estate version is not so macabre: ¬†it’s just a fancy way of saying, “Done Deal!”

“Signed, Sealed, & (Constructively) Delivered”

Specifically, “Final Acceptance” refers to when the Buyer and Seller have entered into a consummated contract (Purchase Agreement).

In turn, that requires that everything has been has been signed by all parties, and constructively delivered (to the Buyer or Seller’s agent counts).

The “Final Acceptance Date” is important because it starts the timer on how long the Buyer has to perform their inspection (a feature of almost all deals).

“Not Sold Till It’s Sold”

Of course, in multiple offers, Final Acceptance is also when the Buyer definitely-for-sure knows they have a deal.

Short of that point ” in theory, even one missing initial on the Purchase Agreement qualifies ” and the Seller is free to back out of deal #1, and sell to someone else (who presumably is offering more).

Which is why Buyer’s agents (myself included) keep the pressure on Sellers and listing agents until everything’s official.

See also, “The Three Most Dangerous Blank Lines in Residential Real Estate”; and “When is a Deal¬†Officially a Deal?”

About the author

Ross Kaplan has 19+ years experience selling real estate all over the Twin Cities. He is also a 12-time consecutive "Super Real Estate Agent," as determined by Mpls. - St. Paul Magazine and Twin Cities Business Magazine. Prior to becoming a Realtor, Ross was an attorney (corporate law), CPA, and entrepreneur. He holds an economics degree from Stanford.

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