Contingencies

Contingencies are a common occurrence in real estate transactions. They simply mean the sale and purchase of a house will only happen if certain conditions are met. The offer is made and accepted, but either party can bow out if those conditions aren’t satisfied. The most common contingencies are various property inspection contingencies (e.g., home inspection contingency) and contingencies tied to financing such as appraisal and financing contingencies. Other contingencies like "Sale of Home" of "Feasibility Study" contingencies are less common but can be negotiated between buyers and sellers. Since contingencies allow buyers to void contracts unilaterally, they add transaction risk for the seller. The fewer and shorter the contingencies, the higher the SnapScore.