Can a buyer write an offer contigent on the sale of another home? Is this customary or rare?
In the State of Missouri we actually have an addendum you can check that states the contract is contingent on the sale of a home or the closing of a home already under contract. The contingent sale on a home can be subject to a 24, 48 or 72 hours kickout where another buyer writes and offer and the first buyer must decide in that time frame to let the home go or waive the contingency.
I realize that this doesn't make for an extremely strong contract, but it is something we are seeing more and more of and I certainly advise my buyers to do if they have a home to sale and can't afford two payments. I have a seller looking in FL and has already lost 5-10,000 in earnest money because he says in Florida they can't have this contingency.
I'm just wondering if he is misinformed.
Any insight or information you can provide would be greatly appreciated.
Re/Max Boone Realty
Licensed in the State of Missouri