Homes and ContingenciesIf you’re looking to buy a home and move into new digs, it’s important you understand how contingencies work. Contingencies are clauses that are placed into a real estate contract to stipulate different conditions that have to be met either by the buyer of the home or seller of the residential property. An example of a contingency can be that a buyer will close on his or her new home when they sell their own. This protects them should they not be able to sell their own house, because sometimes even with a qualified buyer things fall through. Contingencies can act as extra padding.
Contingencies in a real estate contract can really be beneficial to homebuyers because it can help cover them and possibly get them out of a contract they no longer want depending on the circumstances. Some homebuyers, especially when involved in purchasing cheap real estate or bargain residential properties prefer not to place contingencies in the contract to seem more like the right candidate to their sellers, but that’s not the smartest thing to do because purchasing a home is a big deal and you should proceed with care.
One popular contingency among buyers is the mortgage financing clause. This states, in the contract between the buyer and seller of course, that the buyer can back out of the purchase of the home in the case that he or she doesn’t get financing or if the financing is less than the amount expected.
Another popular contingency is the inspection clause. This statement in the contract allows the buyer to hire a home inspector to examine the property and report back on its condition. If the home is not up to par, the buyer can renegotiate the price tag or cancel the purchase altogether.
The attorney review is another one to add to the list, giving the buyer and seller a specific amount of time to have their respective attorneys review the contract between them. After researching home listings online, attending open houses and finding your dream home, make sure you place contingencies in your contract with your seller. After closing, don’t forget to call All My Sons of San Antonio for a professional move at affordable price. The San Antonio local movers are reputable in the San Antonio, Texas area, with countless satisfied customers in residential and commercial moving.