Home Selling in 20852>Question Details

Bernadette, Both Buyer and Seller in Maryland

Contingency on mortgage rate

Asked by Bernadette, Maryland Wed Aug 29, 2012

I received an offer, has the basic contingencies (home inspection, appraisal contingency), except a contingency of a max. 30 year FHA loan rate of 3.5%, which means if the buyer cannot get a rate of 3.5% or lower, they can back out of the contract. Any advice on this contingency? I do have an agent , but would like to get more input from the other experts. thank you

Help the community by answering this question:

Answers

1
Jody Seibert’s answer
You will have a financing contingency on all but cash offers and the loan terms must be stated. More than likely, the Buyer qualifies for the loan amount at 3.5%, but may or may not at a higher rate due to debt/income ratios. What exactly are your concerns in regard to this contingency?
0 votes Thank Flag Link Wed Aug 29, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer