Contingency with a kick-out clause
That means the seller can continue to show the home and accept offers during the sale contingency period. If the seller gets a better offer, they'll allow the original buyer 72 hours to drop the sale contingency and proceed with the deal.
Can you put an offer on a house that is contingent?
If you're interested in a property that's listed with an active contingent status, you may still be able to make an offer. While the initial offer will take precedence if all the contingencies are satisfied, making an offer can put you at the head of the line if the original deal falls through.
What happens if a sales contract includes a contingency?
The contingency clause gives a party to a contract the right to renegotiate or cancel the deal if specific circumstances turn out to be unsatisfactory. An appraisal contingency gives the buyer the right to back out if a professional property appraisal comes in lower than a specified minimum.
How often do contingent offers fall through?
Among contingent offers, less than five percent fall through, according to multiple sources. Broken offers may arise because the buyer isn't able to secure financing or because the seller isn't willing to lower their listing price after a low appraisal.
Why don't sellers like contingent offers?
If you spot an offer that's contingent upon the buyer selling their property, you should seriously consider passing it up. If you're reliant on two buyers getting financing and getting to closing, the chances are just too high your sale will be derailed.
What are the three most important words in real estate?
To achieve those goals, the three most important words in real estate are not Location, Location, Location, but Price, Condition, Availability.