You have put offers in on multiple homes and even went above the asking price. You decide that in order to get the next one you waive all contingencies. (That also means the Home Inspection)
Contingencies / contingency clauses are conditions that need to be met in order for the buyer to purchase the home.
For example, with the Financing contingency, the buyer is stating that they will buy the home if they are approved for a loan and the home passes an appraisal. The Home Inspection contingency allows the buyer to provide a list of items (usually defects) that were found to be fixed or a credit given to the buyer at closing.
The various home buying contingencies usually make up the bulk of the paperwork in an offer.
The most common contingencies are:
- Financing / Appraisal contingency: purchase of the home by the buyers is contingent on (1) the lender approving the buyers for the loan and as part of that process (2) the purchase is conditioned on the home passing an appraisal (see below).
- Inspection contingency: the buyers’ purchase of the home is contingent on them doing an inspection of the home and property.
- Title contingency: the buyers gets to review the title report for the property.
- Sellers’ Disclosure Statement: document that seller fills out detailing any issue with the home during their ownership.
Waving the home inspection in most cases is the most expensive mistake the home buyer makes. Relying on your realtor, the condition report and your own instincts can cost you $10,000's of dollars or more.
Is it worth waiting for the right property or finding out the home you just put an offer in on needs $50,000 dollars of repairs.
Don't make this mistake. Give us a call and we will provide you with the Best Home Inspection you can find. Remember we work for you!
Call us to schedule your inspection now!