RETHINKING BACKUP OFFERS

BY ANNA & MICHELLE

As with any professional, there are tools and techniques available to help with particular situations. They might be more popular at certain times and might even be put aside or forgotten at others. For real estate professionals, one of those is the backup offer.

In a situation where there are multiple offers, the seller can accept any offer for whatever reasons are important to them, leaving the makers of the other offers disappointed. There is always some uncertainty that the buyers on a contract will close accordingly. To hedge on that possibility, the seller may choose to make a counteroffer to one or more of the other offers to be a backup should the primary contract not close.

From a buyer’s perspective, the purpose of a backup offer is to be next in line to have the chance to purchase the property should the first contract fall through. The benefit is that you’ll be next in line to purchase the home without having to submit another offer and, possibly, get into a bidding war. It simply moves from the first backup to the primary contract position.

The buyer in the backup position also experiences uncertainty if it will work and, possibly, feeling like they could be wasting their time while waiting to hear the outcome of the first contract. Some of these buyers will continue to look at homes in the likelihood that another acceptable or better property becomes available. Should this situation occur, the buyer in the backup position may or may not have the ability to withdraw from their contract. It will depend on how the agreement is written. It is important to understand the rights and limitations, as well as when they can be exercised.

A backup offer can lock you into a binding contract until the primary contract’s buyer is approved and closed or until it fails to close and the backup buyer becomes the primary. The backup may or may not have a unilateral way to withdraw the offer prior to one of these outcomes.

Considerations that need to be understood by sellers and buyers alike are:

• Can a buyer in a backup contract unilaterally withdraw at any time?

• Will the earnest money be deposited on a backup offer?

• Will the timelines for contingencies like mortgage or inspections need to be made before becoming the primary contract?

• Will there be any fees incurred by the backup buyer?

Sellers sometimes use a backup offer to apply leverage to the primary contract’s buyer. For instance, if the seller feels the buyers’ demands on repairs are too high, the seller might say something like “if you’re not willing to accept it ‘as is’, I have another buyer waiting to do so.”

Many buyers, as well as their agents, don’t want to obligate themselves to a backup offer. However, in certain situations, it is a good tool to have the opportunity to purchase a home that meets their needs.

In the highly competitive market experienced in 2021 and part of 2022, some buyers may have been reluctant to use a backup because of the slim possibility that it would become the primary. With the shift in the market due to the interest rate increases, a backup offer could be a viable tool to get the home of your dreams.

Your real estate professional can help you understand the advantages and disadvantages of backup ofRecognizing that contracts are legal and binding agreements, you can also consult an attorney who can

By Monica Carrillo

Presented by

Hispanic Latin America Consortium and The Crisis Hotline

OUR VOICE COUNTS

“As the grandson of both the legendary civil rights activist, César Chávez, and the Cuban revolutionary, Max Lesnik, Eduardo Chávez is the scion of two revolutionary families. Eduardo’s political and activist background influenced his feature documentary, “Hailing César,” released April 2018. Since its debut, Eduardo has screened “Hailing César” and spoken at 50-plus universities in three different countries.

In addition to being a director, speaker and activist, Eduardo is the co-founder of Latindia Studios and a member of the Speakers’ Board for the Chávez Institute for Law and Social Justice. Eduardo is also the host of the podcast We Are Latinx. Launched this year, he interviews Latinx individuals about their work and how their culture shapes it. It is now streaming on Spotify and Apple Podcasts.”

On March 30 and 31, Eduardo Chávez will be showcasing his film to different schools in honor of César Chávez Day.

Eduardo Chávez, grandson of César Chávez, will be showing his powerful film, “Hailing César,” to Wood River students throughout Blaine County.

Chávez came to the Wood River Valley in March 2021 in person, and virtually, although it was a limited experience due to COVID.

“We are excited that he is coming back in person with a greater audience to share how he is continuing Chávez’s legacy,” said Herbert Romero, community organizer in the Wood River Valley. “Please join us at The Community Library in Ketchum for a lecture and at the Community Campus in Hailey to see the film.”

Chávez will be at the following schools: Sun Valley Community School from 10:30–11:30 a.m. on Thursday, March 30; Wood River Middle School from 8:30–10:30 a.m. on Friday, March 31; Wood River High School at 1 p.m. on Friday, March 31; and Silver Creek High School at 2:30 p.m. on Friday, March 31.

His film will be showcased at The Community Library on Thursday at 6 p.m. and at the Community Campus on Friday at 6 p.m.

Nuestra Voz Cuenta

“Como nieto del legendario activista por los derechos civiles César Chávez y del revolucionario cubano Max Lesnik, Eduardo Chávez es el vástago de dos familias revolucionarias. Los antecedentes políticos y activistas de Eduardo influyeron en su largometraje documental, “Hailing César,” publicado el 2018 de abril. Desde su debut, Eduardo ha proyectado aclamando a César y ha hablado en 50 universidades en tres países diferentes. Además de ser director, orador y activista, Eduardo es cofundador de Latindia Studios y miembro de la Junta de Oradores del Instituto Chávez de Derecho y Justicia Social. Eduardo es también el anfitrión del podcast We Are Latinx. Lanzado este año, entrevista a individuos latinos sobre su trabajo y cómo su cultura lo moldea. Ahora está transmitiendo en Spotify y Apple Podcasts.”

El 30 y 31 de marzo, Eduardo Chávez exhibirá su película en diferentes escuelas en honor al día de César Chávez.

Eduardo Chávez, nieto de César Chávez, mostrará su poderosa película “Hailing Cesar” a estudiantes de Wood River en todo el condado de Blaine.

Chávez llegó al Wood River Valley en marzo de 2021 en persona y virtualmente, aunque fue una experiencia limitada debido al COVID.

“Estamos entusiasmados de que regrese en persona con una mayor audiencia para compartir cómo continúa el legado de Chávez,” dijo Herbert Romero, organizador comunitario del valle. “Por favor, únase a nosotros en la Biblioteca Comunitaria para una conferencia y en el Campus Comunitario para ver la película.”

Chávez asistirá a las siguientes escuelas: Sun Valley Community School a las 10:30–11:30 a.m. el jueves 30 de marzo; Wood River Middle School a las 8:30–10:30 a.m. el viernes 31 de marzo; Wood River High School a la 1 p.m. Viernes, 31 de marzo; Silver Creek High School a las 2:30 p.m. Viernes, 31 de marzo.

Su película será exhibida en la Community Library el jueves a las 6 p.m. y el Community Campus a las 6 p.m. el viernes.

March madness on our local waters is winding down. Most of our fisheries close at the end of this month, so there’s still a bit of time left to enjoy some great fishing.

On Silver Creek, fishing remains open on Kilpatrick Pond and downstream of the Highway 20 Bridge. Now is the time to fish big streamers to predatory brown trout, and swing dark leeches for the Creek’s resident rainbows and browns. There has been good midge and BWO on select days, so it can be helpful to carry two rigs — one for streamers and one for dries. There have been some very large trout caught on Silver Creek lately!

On the Big Wood River, midge activity will be most prevalent in the afternoons. Keep your eye out for foam lines, eddies, and slow current seams, as the tiny midges will be concentrated in these areas. Feeding rainbow trout can be fooled with long, light leaders and your favorite midge patterns in size 20 – 24. Trailing Shuck Midges, Griffiths Gnats and Parachute Adams are all effective imitations. There may be some sporadic BWO activity as well, so be prepared with some imitations in size 18 – 22. When there is little or no surface feeding activity, nymphing can be extremely productive. A two-fly rig consisting of a larger attractor pattern, such as a Rubber Legs, Girdle Bug or Copper John, followed by a small Zebra Midge or Brassie, is the way to go.

There are a limited number of days to fish our tail-waters right now. The South Fork of the Boise will be closed at the end of March, so if you want to get your casts in down there, you better go soon! The Lower Big Lost River is going to be limited as well, and while it does remain open year-round, we can expect flows to increase during the month of April. All the same flies and techniques you use on the Big Wood will work just fine on the South Fork and the Big Lost; both of these waters can see excellent spring Blue Winged Olive hatches. Keep an eye out on weather conditions and river flows, as this time of year conditions can change rapidly. Idaho river levels can be found on the USGS website.

Happy fishing, everyone!