{"id":50541,"date":"2021-07-02T08:37:15","date_gmt":"2021-07-02T15:37:15","guid":{"rendered":"https:\/\/www.movoto.com\/blog\/?p=50541"},"modified":"2022-04-19T22:45:42","modified_gmt":"2022-04-20T05:45:42","slug":"making-an-offer-on-a-contingent-home","status":"publish","type":"post","link":"https:\/\/www.movoto.com\/blog\/making-an-offer-on-a-contingent-home\/","title":{"rendered":"Making an offer on a contingent home"},"content":{"rendered":"<p>You\u2019ve probably seen listings marked as contingent when searching for homes online. You may have even noticed that there are various types of contingent statuses, making everything seem more complicated than it really is \u2014 especially when all you want to know is whether or not you can still make an offer on the home.<br \/>\nLet\u2019s explore what contingent listings mean and whether or not you can make an offer on a property that is <a href=\"https:\/\/www.movoto.com\/blog\/contingent-sale-vs-pending-whats-the-difference\/\">listed as contingent or active contingent<\/a>.<\/p>\n<h2>What Does a Contingent Listing Mean?<\/h2>\n<p><a href=\"https:\/\/www.movoto.com\/blog\/what-is-a-contingency-in-real-estate\/\">Contingent<\/a> is a term used to describe the current status of a real estate listing. When a home is marked as contingent, it means that a buyer has made an offer that the seller accepted, but is dependent on one or more conditions being met within a certain amount of time.<\/p>\n<h2>Four Common Real Estate Contingencies<\/h2>\n<p>Common contingencies can apply to anything from financing to selling another home. Here are some of the most common contingencies in real estate<\/p>\n<h3>#1. Finance contingency<\/h3>\n<p>A <a href=\"https:\/\/www.washingtonpost.com\/business\/2020\/07\/08\/most-misunderstood-clause-real-estate-contract-financing-contingency\/\">finance contingency<\/a> says that if the buyer cannot secure funding within a certain timeframe, the contract is voided and the home will go back on the market. Buyers can take steps to avoid a finance contingency by getting <a href=\"https:\/\/www.movoto.com\/preapproval\/?utm_medium=preapproval&amp;utm_source=movoto&amp;utm_campaign=header_desktop\">preapproved for a mortgage<\/a>.<\/p>\n<h3>#2. Home inspection contingency<\/h3>\n<p>The <a href=\"https:\/\/www.movoto.com\/blog\/what-you-should-know-complete-home-inspection-checklist\/\">home inspection<\/a> contingency allows buyers to renegotiate the purchase price and terms if unfavorable items are discovered during the inspection. There are several ways to resolve issues revealed in the home inspection.<\/p>\n<ul>\n<li>The seller can reduce the price of the house to allow the buyer to cover the repair costs.<\/li>\n<li>The buyer can request that the seller make any necessary repairs before moving forward with the sale.<\/li>\n<li>There can be a combination of a price reduction and repairs made by the seller.<\/li>\n<li>Both parties can walk away from the agreement and the home will go back on the market.<\/li>\n<\/ul>\n<h3>#3. Appraisal contingency<\/h3>\n<p>As part of finalizing a mortgage approval, your lender will hire a <a href=\"https:\/\/www.movoto.com\/blog\/should-i-do-repairs-on-my-home-before-getting-a-home-appraisal\/\">real estate appraiser<\/a> to do a full and thorough appraisal of the home, to help determine its fair market value. Keep in mind that your lender will not extend a mortgage loan for any amount higher than the appraised value. If the home\u2019s appraised value comes back lower than the sales price, an appraisal contingency allows the buyer to either renegotiate the price or choose to bring additional cash to the closing table to cover the difference.<\/p>\n<h3>#4. Home sale contingency<\/h3>\n<p>A home sale contingency is often put in place when a buyer needs to sell their existing home to secure funding for the new home. A home sale contingency allows the buyer a certain length of time to sell their home before moving forward with the purchase of the new one. If the buyer\u2019s current home doesn\u2019t sell in time, the contract will be voided.<\/p>\n<h2>Can You Make an Offer on a House That\u2019s Listed as Contingent?<\/h2>\n<p>The very nature of contingencies means that they are not always met \u2014 meaning that the transaction could <a href=\"https:\/\/www.thebalance.com\/pending-home-sales-gone-bad-1798297\">fall through for a number of reasons<\/a>. But do you have to wait for one of these contingencies to fall through before making an offer on the home? In short, the answer is no.<br \/>\nIf you find a contingent home that you like, it is still worthwhile to <a href=\"https:\/\/www.movoto.com\/blog\/what-contingencies-should-i-put-in-my-offer\/\">put in your offer<\/a>. Homeowners whose home is in a contingent state are allowed to accept <a href=\"https:\/\/www.movoto.com\/blog\/5-reasons-you-should-always-make-a-backup-offer\/\">a backup offer<\/a>, and this offer takes precedence if the original deal falls through for any reason.<\/p>\n<h2>Start Your Home Search<\/h2>\n<p>If you like a home that\u2019s listed as contingent, your real estate agent can help you navigate the offer process. Connect with an agent or <a href=\"https:\/\/www.movoto.com\/preapproval\/?utm_medium=preapproval&amp;utm_source=movoto&amp;utm_campaign=header_desktop\">get preapproved for a mortgage<\/a> today.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>You\u2019ve probably seen listings marked as contingent when searching for homes online. You may have even noticed that there are various types of contingent statuses, making everything seem more complicated than it really is \u2014 especially when all you want to know is whether or not you can still make an offer on the home. Let\u2019s explore what contingent listings mean and whether or not you can make an offer on a property that is listed as contingent or active contingent. What Does a Contingent Listing Mean? Contingent is a term used to describe the current status of a real [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":50542,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[167,223],"tags":[80,49,187,78,79,53,83],"class_list":["post-50541","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-basics","category-buying","tag-buyer-tips","tag-buying-a-home","tag-contingencies","tag-home-owners","tag-homes-for-sale","tag-real-estate","tag-real-estate-tips","post--single"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Making an offer on a contingent home<\/title>\n<meta name=\"description\" content=\"Let\u2019s explore what contingent listings mean and whether or not you can make an offer on a property that is listed as contingent.\" \/>\n<meta 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