The most common type of contingency is 'pending sale of current home by a stated date'. If the buyer's house does not sell by stated date, the offer is TERMINATED. Earnst money is returned to the buyer.
Depending on the market you live in, selling your home can be slow or fast. In NE Iowa, generally speaking, the market does not move very fast. For example, a BUYER could accept an offer that is contingent on the SELLER listing and selling their home.
Selling could take 1 day, or it could take longer (come on, we all know the houses that have been on the market for YEARS).
As a SELLER, how long do you want to wait to be rid of the house? If speed is of the essence, you might want to consider the 72-hour clause.
What is THAT you might ask....
The 72-hour clause is a common provision added to real estate contracts that allows a seller to continue marketing their property for a period of time after an offer is made
Step-by-Step of the 72 hour clause
Before agreeing to a home sale contingency, the seller’s real estate agent should investigate the potential buyer’s current home to determine:
Hi, I am Summer, real estate agent in NE Iowa. This blog is about life, of which Real Estate is a part of. Happy reading!