Should I Accept a Contingent Offer?

When you put your home up for sale and get offers, a key question arises: Should you accept an offer that depends on the buyer’s current home selling first? It can feel like a risky move, but in the right circumstances, it may actually be the best path forward.

At Path & Post Real Estate, we help sellers evaluate this decision from every angle so they feel confident in both the offer and the outcome.

What Does a Contingent Offer Mean?

A contingency means the buyer must sell their current home before they can complete the purchase of yours. It is often used when a buyer’s funds or financing are tied up in their existing property. While this is common, it introduces an element of uncertainty. If their home does not sell, the deal with you may fall through.

Weighing the Pros

Accepting a contingent offer can open your home up to a broader pool of buyers. Many well-qualified buyers simply need to unlock equity from their current property before they can move forward.

If the buyer’s home is already under contract or priced competitively in a hot market, the risk may be fairly low. Sometimes these deals progress quickly, especially if their home is in a highly desirable area. A strong contingency might include better terms, like a higher price or a flexible closing date. This can make the offer more appealing to you as the seller.

Understanding the Risks

The biggest risk is uncertainty. A contingent offer ties your home up during a critical selling window. If their sale falls through, you may have lost valuable time and momentum. Your home could also appear less fresh or desirable to future buyers if it goes back on the market later.

You also want to avoid getting into a situation where you turn down other offers, only for the deal to collapse. That is why we always look closely at the status of the buyer’s property, the local market conditions, and their ability to move quickly.

How to Protect Yourself

There are smart strategies to protect your interests when considering a contingent offer:

Ask if the buyer’s home is already listed, under contract, or still preparing to go to market.
Consider adding a kick-out clause, which allows you to continue showing your home and accept another offer if it comes along. This gives you leverage while still giving the buyer time to sell.
Review the buyer’s financing strength and the likelihood that their home will sell in the current market.

So, Should You Accept?

There is no one-size-fits-all answer. It depends on your timeline, the competitiveness of your home, and how strong the contingent buyer’s position is. In a slower market, a contingent offer may be worth serious consideration. In a fast-moving market, you may have better options ahead.

At Path & Post, we help you evaluate the full picture so you can make the right move with confidence. If you are facing a contingent offer or have questions about the best way to navigate it, we are here to guide you every step of the way.