Home sale contingency
A contingency that lets the buyer walk if their current home doesn't sell first. Sellers often push back on these because the deal depends on a whole other deal.
Every term like this one lights up in the step you're on.
Free to set up. No credit card.Part 1 of 4
Why a seller cares
It makes your sale depend on somebody else's, one you cannot see or influence. Sellers often decline it, or accept it with a kick-out clause that lets them keep showing.
Part 2 of 4
A simple example
A buyer offers $305,000 contingent on selling their condo, which is not yet listed. You accept with a 72-hour kick-out clause.
| What happens | What follows |
|---|---|
| Their condo sells in three weeks | The contingency is removed and your sale proceeds |
| A second buyer offers $300,000 with no contingency | You give the first buyer 72 hours to drop theirs or step aside |
| Their condo never sells | They cancel under the contingency; the deposit usually goes back to them |
The contingency ties your sale to a second one. The kick-out is how sellers keep the door open.
Part 3 of 4
What people get wrong
That a contingent buyer is a bad buyer. They may be a fine buyer with a house to sell; the question is whether you want to wait on it.
Part 4 of 4 · where to read next
Where it appears in the sale
What a definition is, and what it isn't
Keighbor is a software company, not a law firm, brokerage, or tax adviser. This is general information, not legal, tax, financial, or real estate advice about your sale. Your situation may differ. Before acting on a contract, disclosure, title, tax, or pricing question, ask an appropriately licensed professional in your state.
Written and researched by Keighbor Research · drawn from the reference glossary · how we research and check what we publish
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In your room, this word explains itself where it appears.
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