What is an "offer to purchase"?

An "offer to purchase" is indeed a formal proposal made by a buyer to buy a property under specified conditions. This document outlines the buyer's intention to purchase the property and includes specific terms such as the price they are willing to pay, any conditions that must be met before the sale is finalized (such as inspections, financing, or legal approvals), and deadlines for acceptance of the offer.

This formal nature is crucial because it not only signifies the buyer's interest but also sets the stage for the potential sales contract. Once accepted by the seller, it can create a binding obligation between the two parties, subject to the fulfillment of any stated conditions.

Other options, while they may relate to real estate transactions, do not accurately define an "offer to purchase." For instance, a legal obligation to buy a property describes a scenario after an offer has been accepted, while a summary of property features or a marketing tool merely provides information about properties but does not represent the buyer's intent or initiate a purchase process.