Contingency Removal Period

In real estate, a “contingency” refers to a condition of the Agreement of Sale that needs to occur in order for the transaction to keep moving forward. As the buyer, there are many contingencies that they can choose to include in your contract.

Passing this period, if everything looks good at this point, there are just two more stages before closing: a title search and transfer of ownership.

By working closely with me and other industry experts, you’ll be better able to understand what contingencies are all about, when they’re most likely to be necessary, and what you can do to make sure you’re in the best position possible for dealing with contingencies when they arise.

Inspection Contingency
Just about every contract has an inspection period (unless we negotiate this out). This is where the buyer is able to do their due-diligence on the property with a professional inspection.

Financing Contingency
Most contracts are also contingent on the buyer’s financing. We don’t accept offers unless we have the buyer’s pre-approval from a lender.

Appraisal Contingency
Inside the buyer’s financing there is often an appraisal contingency. This means the buyer’s financing is contingent upon the property appraising for their purchase price.

Home Sale Contingency
Some contracts are also contingent upon the buyer selling and closing on their current property. There will be additional paperwork and dates we abide by with this type of contingency.