What Are the Most Common Contingencies to Include in a Home Offer?

When buying or selling a home, contingencies protect both parties by setting conditions that must be met before closing. From financing and inspection to appraisal, these clauses make sure the deal proceeds smoothly—or gives buyers a safe way out if issues arise.

💰 Financing Contingency

A financing contingency allows the buyer to cancel the contract without penalty if they’re unable to secure a mortgage. This is one of the most common protections for buyers who need loan approval. It ensures their earnest money deposit isn’t lost if financing falls through.

🏠 Appraisal Contingency

A home appraisal contingency protects the buyer if the property’s appraised value comes in lower than the purchase price. If the appraisal doesn’t meet or exceed the agreed price, the buyer can renegotiate or withdraw the offer without losing their deposit.

🔍 Home Inspection Contingency

A home inspection contingency gives the buyer the right to have the property professionally inspected within a set period, typically 7–10 days. If significant defects are found, the buyer can request repairs, ask for a price reduction, or cancel the contract.

🏡 Home Sale Contingency

A home sale contingency allows buyers to make an offer on a new property before selling their current one. This condition gives them security but may delay the seller’s closing timeline. Many sellers include a kick-out clause to stay flexible.

📄 Title or Insurance Contingency

A title contingency ensures the property’s title is clear—free of liens or ownership disputes. If the title search reveals legal issues, buyers can require them to be resolved before closing or back out of the contract safely.

🔑 How Brokerless Helps FSBO Sellers Manage Contingencies

Listing your home with a Flat Fee MLS through Brokerless gives you the same visibility as traditional agents—on Realtor.com and Zillow—while maintaining full control of your sale terms. You can clearly define contingencies, response periods, and clauses right within your listing or purchase contract.

📚 Related Reading

❓ Frequently Asked Questions

1. What is the most common contingency in a home offer?

The financing contingency is the most common. It protects buyers who rely on mortgage approval to purchase a home, ensuring they don’t lose their earnest money if financing falls through.

2. Can sellers reject offers with too many contingencies?

Yes. Sellers can decline or counter offers that include excessive or risky contingencies. Keeping your offer clean and realistic makes it more appealing in competitive markets.

3. Should FSBO sellers accept offers with contingencies?

It depends on the terms and timing. Many For Sale By Owner sellers accept common contingencies like financing and inspection but use tools like a kick-out clause to stay flexible and protect their timeline.

Stay Protected and in Control with Brokerless

Brokerless helps FSBO sellers manage contingencies, negotiate smarter, and reach more qualified buyers on the MLS for one flat fee.

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