When you’re selling or buying a home, and you’re dealing with a contract in real estate, there are contingencies, these little caveats that are included within the offer. Typical ones that you are going to find are a buyer is going to want to include a home inspection contingency that basically says, here is my offer, and assuming that after my inspection I have no issues, we can keep moving forward. Or if I do find issues during any of my inspections, that I’m going to come to you as the buyer to the seller, and I’m going to ask to maybe negotiate some of these items.
You are almost always going to see a home inspection contingency. You will also most likely see a financing contingency that says that the buyer has to get their final approval for financing. Look for an appraisal contingency, that says that the house has to appraise as the offer price. This is an independent way for the lending bank to make certain they are not agreeing to loan more money to a buyer then the property is worth.
There are other details related to contingencies that your Realtor is going to share with you to help you understand what is going on. Just remember that your contingencies are an important part of the offer. They are part of the terms of the offer, so it’s not just your price, but it’s these contingencies that can get you in trouble sometimes.
If you are a seller in Northern Virginia, and you wanted to learn more about our smart seller program with variable commission rates, click this link below to get access to that report today.
By Steve Bradley