Real estate glossary
Counteroffer
Also called: Counter offer, Seller counter offer, SCO
A response to an offer that changes some of its terms; it rejects the original offer and proposes new terms instead.
If you like an offer but not all of it, you can reply with a counteroffer — for example a higher price, a shorter contingency period or a different closing date. In California sellers usually use a Seller Counter Offer form.
A counteroffer is a new proposal, not an acceptance. Making one generally means the original offer can no longer simply be accepted as written. The other side can accept your counter, reject it or counter back.
Nothing is binding until one side accepts the other's latest terms in writing and that acceptance is delivered back.
What it means for you as a seller
Counter only the terms you truly care about, and watch the expiration time on your counter. If you send counters to several buyers at once, make sure the form says how you choose between them.
Related terms
- Purchase agreementThe written contract a buyer uses to make an offer; once both sides sign it, it sets the price, deadlines and terms of the sale.
- AcceptanceThe moment an offer or counteroffer is signed and delivered back to the other side, creating a binding contract and starting the clock.
- Backup offerAn offer you accept in second place, which only moves into first place if the current deal falls through.
Not legal or tax advice. These explanations are general information to help you follow your own transaction. Laws, forms and customs vary by state and county, and the terms of your own contract always control. For advice about your situation, talk to your real estate agent, a real estate attorney or a tax professional. Last updated .