What is a Contingency?

 

In a real estate contract, a contingency is a requirement that must be satisfied before completing a home sale. If any conditions outlined in the purchase agreement are not fulfilled, the buyer can withdraw from the contract without forfeiting any earnest money. A contingency is satisfied by one of the following 1) deadline expires or 2) amended to be removed from offer.

 

Common Contingencies

  • Home Inspection

  • Appraisal

  • Financing

  • Well, Water, and/or Septic

  • Radon

  • Termite Inspection