Step-by-Step: How to Remove or Satisfy Contingencies in a Real Estate Contract

Once an offer is accepted, contingencies protect both buyer and seller until certain conditions are met. Knowing how to remove or satisfy contingencies correctly helps you move toward a smooth closing and avoid legal risks.

🏁 What Does It Mean to “Satisfy” a Contingency?

To satisfy a contingency means the required condition has been met — for example, the buyer secured financing, the inspection was completed, or the appraisal met the purchase price. Once satisfied, the contingency no longer protects the buyer and can be formally removed in writing.

Learn more about what a contingency clause is in real estate.

📝 Step-by-Step: How to Remove or Satisfy Contingencies

  1. Review each contingency: Common ones include inspection, appraisal, financing, and home sale contingencies.
  2. Confirm completion: Once the related action (inspection, loan approval, etc.) is done, gather documentation as proof.
  3. Submit a removal notice: Your agent or attorney should prepare a written Contingency Removal Form for signature and delivery.
  4. Get written acknowledgment: The other party (usually the seller) confirms receipt so there’s no dispute later.
  5. Track your timeline: Missing the contingency deadline can automatically waive your protection — see legal risks of waiving contingencies.

⏰ When Should Contingencies Be Removed?

Contingencies should only be removed when all related inspections, financing approvals, or appraisals are complete and satisfactory. Buyers should never remove a contingency prematurely — doing so eliminates legal and financial protections.

For example, once the lender issues a clear-to-close, the financing contingency can safely be removed.

⚠️ What Happens If You Don’t Remove Contingencies?

If contingencies aren’t removed by their deadlines, the seller may have the right to cancel the deal or issue a “Notice to Perform.” In some contracts, missing the removal date automatically waives your contingency — exposing you to risk if problems arise later.

Always consult your real estate attorney or broker before allowing any contingency to lapse unintentionally.

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