How will contingencies affect your offer?
Contingencies are clauses in a home purchase contract that allow the buyer or seller to back out of the sale if certain conditions are not met.
Home inspection contingencies allow buyers to negotiate the sales price, ask for repairs or walk away if problems are uncovered during the inspection. Waiving a home inspection to win a bidding war can put you at risk.
An appraisal contingency gives buyers an out if the appraised value of the home is lower than the asking price of the home.
Although it's a good idea to get preapproved for a mortgage, preapproval doesn't guarantee that you'll qualify for a loan. A mortgage contingency protects buyers if they can't get the financing needed to purchase the home.
A home sale contingency can be used to secure a buyer more time to sell their current home, but these offers are often the least attractive to sellers and may put you at a disadvantage in a competitive market.
In a seller's market, it may be tempting to remove contingencies to make your offer more attractive to the seller, but many contingencies are in place to protect you as the buyer. There may be other ways to make your offer competitive, such as offering a larger down payment.
Talk with an experienced real estate agent to put together the strongest offer possible while keeping yourself protected. Our team at Harnish Properties is here to help answer any questions.
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Downtown Lake Oswego