Home Buying in Ashburn>Question Details

Ian, Home Buyer in Ashburn, VA

Does contingency matter when embroiled in multi-bid war...?

Asked by Ian, Ashburn, VA Wed Apr 24, 2013

This is for more of peace of mind, I suppose. Our current home is under contract, with settle date set for mid June. Then, we found a home we liked, and placed an offer on in. I was informed by the buyer's agent that since there are multiple offers on that house, we had to have as "Clean" offer as possible, meaning as few contingencies as possible.

We got rid of most contingencies, but one that continues to stick is the fact that we have not closed the sale of the home yet... but I thought being under contract was sufficient to remove the contingency on sale of house.

Help the community by answering this question:


Even though you are under contract for the sale of your home, there isn't a guarantee that it will go through without a hitch. Therefore, if they accepted your offer and something unforeseen happened that put your sale in jeopardy or even delayed, then it would also jeopardize or delay your purchase. As you can see there would be a domino effect. It would be safer for them to go with a contract that did not have a sale of home contingency.

Your financing contingency, which includes appraisal, of course, needs to stay in place and would be expected.

Then there is the home inspection. It is not smart to waive the home inspection. For a purchase this large, you want to know what you are buying and any current or anticipated problems.

Carolyn Liddell
Sun Realty
0 votes Thank Flag Link Thu Apr 25, 2013
Hello, it all depends on how far along in the sale of your house you are at, and it sounds like you were pretty recently ratified since the closing is mid June. There are several upcoming factors that can still thwart your sale, or contract date, therefore interrupting the purchase of your next home. I wish you luck, with your sale and move.

Eleni Malliaros
Realtor VA
Keller Williams
0 votes Thank Flag Link Wed Apr 24, 2013
And only reason why I bring this up is because... I am getting two different answers, unfortunately.
My seller's agent who helped put our current home under contract thinks it is no big deal, while my buyers agent helping me put offer on new home thinks this will make or break our offer on the home. Two completely different answers!!!
Flag Wed Apr 24, 2013
Hi, the contract was actually ratified a month ago after inspection contingency was removed. We decided at the time to set the settlement date to mid June. We were able to have the buyers to agree to earlier settlement date, mid May now, on advice of the agent. But I wonder if the seller will still throw out our offer based on the fact that settlement is not until mid May...?
Flag Wed Apr 24, 2013
Indeed, we are not waiving inspection contingency and loan contingency.
0 votes Thank Flag Link Wed Apr 24, 2013
Quick clarification on contingencies. We are talking mostly about the contingency on sale of the house.
Our current home is under contract, with settlement scheduled in mid june. Would that be not sufficient enough to warrant removal of that said contingency, or is it removed only after the closing of the sale...?
0 votes Thank Flag Link Wed Apr 24, 2013
If you are talking about a Contingency to sell your house first; that is something else.
In a multi-offer situ, they would autmatically throw that one out.

But if you are talking about "normal" contingencies; like Inspection, Loan and Appraisal; I would never recommend that my clients make an offer without those! Never!
If you got the acceptance, and then found out that the house was infected, or off it's foundation, what would you do then? You couldn't back out; you're stuck!
Do you think the other bidders are going without contingencies: If they are, I'd wish them good luck.
0 votes Thank Flag Link Wed Apr 24, 2013
As I mentioned before, our home is under contract. Would seller still throw the offer out?
Flag Wed Apr 24, 2013
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