Buying
Buying
Understanding the Termination Option Period
What is the termination option period when buying a home in El Paso? It is your built-in safety window, usually the first 5 to 10 days after your offer is accepted, when you can inspect, negotiate repairs, or walk away for any reason and get your earnest money back.
Quick buyer tip on the termination option period. This is Texas's version of an inspection contingency. As a buyer you ask for this window when you make your offer, get your home inspection done early (ideally day two or three), and use the remaining days to negotiate repairs, ask for a price change, or simply terminate if you get cold feet, by 5 p.m. Mountain on the last day. It runs about $200 right now for roughly a 5 to 7 day period. Terminate in time and you get your earnest money back, but that option fee goes to the seller for taking the home off the market.
Video transcript
Understanding the Termination Option Period
Buyer tip, what is a termination option period if you are a buyer and you are looking to make an offer on a home? You are going to ask for a termination option period This is typically the first five to ten days after your offer is accepted during which time you are going to do a home inspection hopefully on day two or three and you have the remaining days to
Negotiate repairs ask for price alterations Or if you just get cold feet for any reason whatsoever You may terminate the contract by the last day of your termination option period 5 p.m. Mountain Standard Time Okay, so this is essentially how we put in a in place a contingency on inspection
It's the way it might be referred to in other states now. How much does this cost right now? It's going for about two hundred dollars So you can probably ask for a five to seven day termination option period for the cost of two hundred dollars now If you terminate your contract within this termination option period you will get your earnest money back
Which we talked about but you will not get the termination option feedback the two hundred dollars That's going to go to the seller for their troubles of taking the home off the market for that time
