Buyer Beware – written offers

Steve,

Just read your Buyer Beware. Very interesting; I esp. liked the step by step forms – very good, should be more stuff like it.

I have some questions about written offers. In BB you say that you don’t like low-balling. I assume you mean submitting lots, or shot-gunning, wholesale written offers (80%- of value) and waiting for any acceptances. Can you go in to more detail as to why you don’t like it and what would be a better way of getting wholesale prices?

In regards to the actual written offer, you use your own form. I was told to use the standard contract for sale form for my state/territory, which includes a lot more clauses. Can you tell me why you use your own form (which is obvously more simple)?

Once the offer has been accepted, then do you use the standard contract for sale form? At which point has the buyer entered in to a contract and can’t back out – with your form there is no place for them to sign, so I assume that acceptance is verbal (which is not a contract) until they do sign something/exchange contracts? Finally, if you were going to make a written offer to flip a property and you wanted to use an option (after getting legal advice on how to structure it), how would you submit this to the agent and vendor in the best way for it to be accepted (as an option is a little unusual)?

Sorry if these are stupid questions.

Thanks Steve,
Rob