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What Does Contingent Mean In Real Estate? Contingent means ?depending on certain circumstances.? In real estate, when a house is listed as contingent, it means that an offer has been made and accepted, but before the deal is complete, some additional criteria must be met.
Think of a contingency as an ?if-then? proposition. For example: If the appraised value of the property is lower than the purchase price, then I can ask for a lower price or get out of the contract. When working with your agent to write the offer, you'll have to decide which contingencies to include.
Key Takeaways. Home sale contingencies are clauses in a real estate sales contract that protect buyers who want to sell one home before purchasing another. If the buyer's house sells by a certain date, the sale moves forward??if not, a buyer can walk away.
If you're interested in a property that's listed with an active contingent status, you may still be able to make an offer. While the initial offer will take precedence if all the contingencies are satisfied, making an offer can put you at the head of the line if the original deal falls through.
What Is a Contingency? A contingency is a potential occurrence of a negative event in the future, such as an economic recession, natural disaster, fraudulent activity, terrorist attack, or a pandemic.