Home Buying Advice - Contingencies

When you write an offer your Realtor should include some contingencies that are designed to protect you if for some reason you have to cancel the contract. Some of the more common contingencies are:

Dependent on the sale of your current home. This protects you if the sale of your current home falls through.
Based on obtaining a mortgage. If for some reason you cannot obtain a mortgage then you can cancel without penalty.
Based on the results of a home inspection. If the home inspection uncovers something you do not like and you cannot come to some agreement with the seller then you can cancel.
The home appraises for the loan amount. The lender does not think that the home is worth what you are offering and so you have to cancel.

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