Special offer

Choose Wisely When Considering Contingencies On A Contract

Choose wisely when considering contingencies on a contract offer! I tell my buyers that time and again. 

A good example is a home that I currently have listed. We have two offers that came in within the last 24 hours. One is a good offer to close within 6 weeks and has no contingencies, the other one wants 8 weeks to close with the contingency that the buyer sells her current home. Needless to say, that one contingency is going to mean that she has no chance in getting the home my client is selling.

I do understand that she needs to sell her home and that she really wants to purchase the home we have for sale but this one contingency is putting the death nail on the offer.

In the current market, homes that are in move in condition and priced right are flying off the market. That means those who must have contingencies are being shut out. It is a hot market and getting hotter here in the Sunshine State. People realize that prices are going up and they have already missed the bottom of the market. It is a now or never situation for many!

Posted by

Buying or Selling - - Call Barbara-Jo for all of your real estate needs! - - 727-755-3292

barbara jo roberts berberi, realtor
Ich Spreche Deutsch!!!  
TRC

Barbara-Jo Roberts Berberi, MA

Charles Rutenberg Realty

Serving the Greater Palm Harbor Florida Area, including Crystal Beach, Ozona, Clearwater, Dunedin, Safety Harbor & Tarpon Springs Florida & surrounding area

Waterfront condos & homes
relocation, investment, upsizing, downsizing

Your Real Estate Specialist

727-755-3292 (Barbara-Jo)


visit my website to see all  current listings
www.barbarajo.com


connect with me online

If you are thinking of purchasing in the Palm Harbor, Crystal Beach, Safety Harbor, Dunedin, Tarpon Springs area or along our pristine Gulf Beaches, give me a call! With years of experience in the local real estate market, I am here to assist you in making one of the most important purchases of your life! Give me a call today! Find out for yourself why living along the Gulf Coast is indeed living in Paradise!  727-755-3292

Comments (14)

1~Judi Barrett
Integrity Real Estate Services 116 SE AVE N, Idabel, OK 74745 - Idabel, OK
BS Ed, Integrity Real Estate Services -IDABEL OK

Barbara, Very good advice... always!  Contingencies can sure make the difference in contracts!

Jan 15, 2016 10:20 PM
Faith LaRosse
Springer Realty Group - Limerick, PA
Serving Berks, Chester & Montgomery Counties

You make an excellent point here, Barbara Jo!  Many times buyers don't take that into consideration and, while we advise them to do their "due diligence" when deciding on a home, it can surely weigh greatly on the sellers decision. 

Jan 15, 2016 10:56 PM
Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

Good morning Barbara-Jo. If there is a mortgage contingency, it may also make sense so ask the loan officer if anything that is be considered may cause a problem.

Jan 15, 2016 10:56 PM
Gary L. Waters Broker Associate, Bucci Realty
Bucci Realty, Inc. - Melbourne, FL
Eighteen Years Experience in Brevard County

People must understand price is not everything...contingencies matter.  The cleanest offer may not be the highest offer!

Jan 15, 2016 11:32 PM
Grant Schneider
Performance Development Strategies - Armonk, NY
Your Coach Helping You Create Successful Outcomes

Hi Barbara-Jo - I certainly would not want to accept that type of contingency.  This is a good point to make for home buyers.

Jan 16, 2016 12:05 AM
Jeffrey DiMuria 321.223.6253 Waves Realty
Waves Realty - Melbourne, FL
Florida Space Coast Homes

Barbara Jo...even when it is the only offer I will usually advise clients to not accept the offer. Lots of chances for that deal to go bad.

Jan 16, 2016 12:36 AM
Kathleen Daniels, Probate & Trust Specialist
KD Realty - 408.972.1822 - San Jose, CA
Probate Real Estate Services

Chances are even if that was the only offer you received the seller would wait for a non-contingent offer to arrive. 

Jan 16, 2016 04:21 AM
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

Of all the contingencies on a contract that I have concern about, it's usually the contingency that rests on selling an existing home.  However, in the current brisk selling market here in Sacramento, I worry about it a little less.  But, if there are multiple offers, that contingency can freeze out a hopeful homebuyer.

Jan 16, 2016 10:57 AM
Myrl Jeffcoat
Sacramento, CA
Greater Sacramento Realtor - Retired

CONGRATULATIONS Barbara, on having this blog FEATURED in the Old Farts Club group!

Jan 16, 2016 10:58 AM
Gita Bantwal
RE/MAX Centre Realtors - Warwick, PA
REALTOR,ABR,CRS,SRES,GRI - Bucks County & Philadel

I love the post. I hope home buyers will read it. I do not like some contingencies. 

Jan 16, 2016 07:58 PM
Linda Guess
Keller Williams Tri-Lakes Branson, MO - Branson, MO
Branson area real estate sales.

Well we know she will not be getting the house.  We give good advise but it is up to the client to make the decision, right or wrong.

Jan 18, 2016 10:42 AM
Potranco Realty
Potranco Realty - San Antonio, TX
"Sold with Potranco Realty"

Very true, I have one now that has a contingency the buyer must sell their home, if we would have had multiple offers this would have not happened.

Jan 26, 2016 08:08 AM
Robert Bob Gilbert
Berkshire Hathaway HomeServices Anderson Properties - Katy, TX
Your Katy TX ( West of Houston) Real Estate Expert

Barbara Jo, Hot market does change the sales landscape as you said. good post.. 

Jan 27, 2016 05:12 AM
Georgie Hunter R(S) 58089
Hawai'i Life Real Estate Brokers - Haiku, HI
Maui Real Estate sales and lifestyle info

That kind of contingency is always a tough one to swallow, unless there's a kickout clause.  Glad to hear your business is booming.

Feb 06, 2016 08:27 AM