Standard contingencies real estate contract
7 Must-Have Real Estate Contract Conditions Finance Terms Most people aren't financially secure enough to make an all-cash offer on a home—and chances are, you're one of them. Real estate contingencies typically fall under three major categories: appraisal, home inspection and mortgage approval. Think of these contingencies as a buyer's and seller's safety net. If a home does not appraise at a certain value, if an inspection reveals a major problem, or if the buyer cannot obtain adequate financing, the parties can back out of the contract without penalty.