Contingency

A protective condition in your contract that must be satisfied before closing.

Key Takeaways
01

Contingencies are the safety net woven into every well-written offer.

Contingencies are the safety net woven into every well-written offer. Each contingency gives you a defined window to verify a specific condition — and a defined right to renegotiate or exit with earnest money returned if the condition fails. Every contingency you waive strengthens your offer; every one you waive without a plan exposes you to real financial risk.

Key Points

Financing

Protects you if your loan is denied through no fault of your own.

Inspection

Allows a professional evaluation and a chance to renegotiate repairs or credits.

Appraisal

Protects you if the home appraises below contract price.

Home Sale

Makes your purchase dependent on selling your current home.

The Buyer's Checklist
  • Financing

    Protects you if your loan is denied through no fault of your own.

  • Inspection

    Allows a professional evaluation and a chance to renegotiate repairs or credits.

  • Appraisal

    Protects you if the home appraises below contract price.

  • Home Sale

    Makes your purchase dependent on selling your current home.

Practitioner's Notes
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