Q: What is mutual acceptance?
Mutual acceptance is the point at which both parties have agreed to all of the terms and conditions of the offer. Once you have everything signed by both the buyer and the seller, then you have mutual acceptance.
Q: What happens at mutual acceptance?
Once you have mutual acceptance, all of your timelines for your contingency begin for your inspection, the deposit of your earnest money, your loan application, all of those timelines are based on the date of mutual acceptance. If you have mutual acceptance today, your day one for all of your contingencies would be tomorrow. So mutual acceptance is important in terms of calculating all of your timelines for your contingencies.
Q: Are the deadlines in the contract flexible?
It is very important to make sure that you follow all of your contingency timelines to a “T.” You don’t want to miss a loan application deadline, you don’t want to do your inspection late, you want to make sure that you do everything in a timely manner so that you don’t put your earnest money at risk.