There are standard offer contingencies in every real estate transaction, like your buyer's ability to inspect the property and to view the title report. Those contingencies are normal, but there's one contingency all sellers should be wary of. If you get an offer that's contingent on the sale of your buyer's home, you'll most likely want to pass. But why?
Cons of Accepting a Contingent Offer
Negotiating with Contingency Buyers
Exceptions to the Rule
In another example, if your buyer's sale contingent offer is significantly better than any other offer you have, you may want to consider accepting it. Just make sure you're confident that the buyer's property is well priced and know your market to make sure there's an opportunity for it to sell quickly. Also, make sure the buyer spells out when they will list their home and what the list price will be in your offer.
Now that you understand the risks and stipulations associated with sale contingent offers, you can make an informed decision on whether you want to accept the offer or not. Have questions? Ask us! We're happy to help.