Viewing a single comment thread. View all comments

Revan995 OP t1_iu9ggem wrote

Reply to comment by Delicious_Rabbit4425 in Anyone who recently sold real estate in the Augusta area by Revan995

We are planning on going contingent for a place further north, somewhere between Farmington and Kingfield. Definitely don't want to rent.

7

Tbagmoo t1_iu9iz1l wrote

What does "going contingent" mean, if you don't mind taking the time to explain it to me?

2

Vtguy802812 t1_iu9jcze wrote

The sale of their house is contingent of them finding another house in x many days.

10

Tbagmoo t1_iu9jmkn wrote

Interesting. I didn't know that was an option. And if they don't find a house they want to buy, the sale falls through completely? That would be frustrating if you were the buyer I bet.

6

Vtguy802812 t1_iu9k68h wrote

Yup, just part of the game. Typically having a contingency like that would make the house less appealing to buyers, but in today’s market who knows.

You also see contingencies when people who own a house and are looking to buy a new house, they will make the offer on the new house contingent on selling their old house.

9

Tbagmoo t1_iu9keoz wrote

Thanks for taking the time to explain it

2

Revan995 OP t1_iu9jh6z wrote

Basically it's shorthand for "I'll buy your house, but only if I manage to sell mine at the same time". Very common for those of us who can't manage to swing two mortgages at once. It's risky though, because someone can swoop in, pay cash and steal it out from under you. Legally.

7

Tbagmoo t1_iu9jvfu wrote

Interesting. Thank you

2

9wild9 t1_iu9l0x0 wrote

Contingent offers have been very rare the last couple years because of how competitive the market has been. As a seller, there’s no reason to accept a contingent offer if you have multiple offers with no such clause.

Since the market is slowing down a bit (due to sky high interest rates) contingent offers may become more common.

7

iceflame1211 t1_iu9nem3 wrote

I think you're going to have a very tough time buying right now. The seller of your potential new home may not even consider a contingency offer with how hot the market is. Anyone selling a decent home in Maine right now can find a buyer with either cash, or fully financed and not contingent on their home being sold.

2

funky_kaleidoscope t1_iuattan wrote

Have you looked into getting a bridge loan?

1

Revan995 OP t1_iuau4b5 wrote

We have not. Don't know much about them tbh. Will have to do some research.

1

funky_kaleidoscope t1_iucu44b wrote

That might help you in putting offers down. It’s basically a short term loan to help you cover the temporary period of carrying two mortgages while your previous home is listed.

1