Making an Offer in Massachusetts: From Offer to Purchase to P&S

In most states, buyers sign one long contract. Massachusetts does it in two steps: first a short Offer to Purchase, then a longer Purchase and Sale Agreement (often called the “P&S”). Knowing how each step works helps you write a strong offer without giving up the protections you need.

Before you make an offer: the buyer agreement

Since August 17, 2024, agents who belong to an MLS must have a signed, written agreement with you before they tour a home with you, in person or by live video. This came out of the National Association of REALTORS® settlement. According to NAR, the agreement must:

• State clearly how much the agent will be paid, or exactly how that amount is figured. It cannot be open-ended, such as “whatever the seller offers.”
• Say that the agent cannot receive more than that amount from any source.
• Say plainly that commissions are not set by law and are fully negotiable.

The agreement can be short and limited. NAR notes it can cover one day, one house or one area. You do not need one to walk into an open house on your own.

Massachusetts also requires agents to give you the Mandatory Licensee-Consumer Relationship Disclosure at the first personal meeting about a specific property. It explains whether the agent works for you, for the seller, or as a facilitator. Read more in our guide to agent fees and buyer agreements.

Step 1: The Offer to Purchase

MassHousing explains that an accepted offer must be in writing and signed by both buyer and seller. A good offer lists:

• Names of the buyer and seller, and the property address
• The price
• The deposit with the offer, and the larger deposit due at the P&S
• Your contingencies and their deadlines
• The deadline to sign the P&S, and the closing date
• Any items included, such as appliances

The seller can accept, reject or counter. The home usually stays on the market while you negotiate.

Deposits

The law does not set deposit amounts. In Greater Boston it is common to put down a smaller “binder” deposit with the offer (often around $1,000 or more) and bring the total to about 5% of the price when you sign the P&S. In a competitive market, sellers may want more. Deposits are usually held in escrow by the listing broker or an attorney, not by the seller.

Contingencies that protect you

A contingency is a condition that lets you cancel and get your deposit back if something goes wrong by a set date.

Home inspection

Massachusetts now protects your right to inspect. For contracts on or after October 15, 2025, a seller cannot make acceptance depend on you waiving an inspection. A seller also cannot accept an offer if told ahead of time that the buyer plans to skip the inspection. Sellers must give you a written disclosure saying your offer does not depend on waiving inspection. You can still choose not to inspect, as long as no one pressures you. You and the seller may agree to reasonable terms, such as a minimum repair cost before you can cancel. See our home inspection guide.

Mortgage (financing)

This protects your deposit if your lender does not approve your loan by an agreed date. MassHousing recommends a mortgage contingency in the P&S. Watch the date closely. If you need more time, ask for a written extension before the deadline passes. Getting a strong pre-approval first makes this step smoother.

Appraisal

Your lender orders an appraisal to confirm the home’s value. If it comes in low, the bank may lend less. An appraisal contingency lets you renegotiate or cancel. Some buyers in multiple-offer situations agree to cover part of any gap. Only do that if you have the cash.

Other common contingencies

• Lead paint, radon and pest inspections
• Septic (Title 5) results for homes not on town sewer
• Condo documents review for a condo purchase
• Sale of your current home, which sellers often see as weaker

Escalation clauses

An escalation clause says you will beat any competing offer by a set amount, up to a cap. For example: “I offer $600,000, and will pay $2,000 more than any other bona fide offer, up to $625,000.” Guidance from the Massachusetts Association of REALTORS® points out some risks:

• Your cap shows the most you will pay. A seller may counter at that number.
• Some sellers will not accept escalation clauses at all, or will ask for proof of the other offer.
• They mainly help when you expect several offers.

MAR also says buyers should talk to an attorney before using one.

Step 2: The Purchase and Sale Agreement

After the offer is accepted, the P&S is drafted. It is longer and more detailed. MassHousing notes there are standard forms for houses and for condominiums, and recommends that an attorney review it before you sign. Your attorney may add a rider with extra protections, such as details on title, repairs or deadlines.

At signing, you usually pay the rest of your deposit. The P&S then becomes the main contract for the sale.

A typical Massachusetts timeline

Every deal is different and all dates can be negotiated. This is a common pattern:

How to make your offer stronger without taking big risks

1. Get a full pre-approval, not just a quick pre-qualification.
2. Offer a closing date that works for the seller.
3. Make a larger deposit if you can afford it.
4. Keep the inspection, but agree to a reasonable repair threshold.
5. Write a clean, complete offer with clear deadlines.

Once you sign, start planning for closing costs.

How Luis can help

Luis and our team have helped Greater Boston buyers write offers for more than 30 years, in English or Spanish. We can walk you through each deadline and help you build an offer that fits your budget. Book a free 15-minute call through our contact page.