Thursday Term: What is a contingency?

June 28, 2012

When you make an offer to purchase on a home, you and your real estate agent will decide if you will include any contingencies in the offer such as financing and/or home inspection. A contingency is a condition that must be met in order for the sale to be legally binding.  

 

When you make an offer with a financing contingency, the offer is then contingent, or dependant, on you obtaining that financing.  If you need a mortgage to buy the home and cannot obtain the financing to do so, the contingency is not met and the deal can’t close.   Getting pre-approved for a mortgage can give you more confidence in your ability to obtain the mortgage you need. Read more on pre-approval here.  Pre-approvals should be very important to sellers, too.

 

There are numerous contingencies – conditions that need to be met – that you could include in your offer to purchase. A buyer’s agent can discuss these with you in detail, as well as all the intricacies that go into satisfying or waiving contingencies and how it affects your offer.  Read more on Buyer Representation in Wisconsin at firstweber.com.

 

Buying a home can be complicated business. You need an agent that you can trust to guide you through the many steps in the homebuying process.  To find a Wisconsin real estate agent in your area, please search at firstweber.com  Thanks for reading the First Weber Wisconsin real estate & Wisconsin living blog. To begin searching for real estate in Wisconsin, please start at firstweber.com.

 

photo credit photo credit photo credit http://www.flickr.com/photos/nikcname/4893848354/

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