Contingencies are conditions in your purchase contract that let you cancel and usually get your earnest money back if something goes wrong: the inspection reveals problems, the appraisal comes in low, your financing falls through, or your current home doesn’t sell. Waiving them can make your offer more attractive but puts your deposit, and sometimes much more, at risk.
The main contingencies
| Contingency | Protects you if… | Typical period |
|---|---|---|
| Inspection | The inspection finds problems you can’t resolve with the seller | 5 to 14 days |
| Appraisal | The home appraises below the price | Until the appraisal, often 2 to 3 weeks |
| Financing | Your loan isn’t approved despite good-faith efforts | Often 21 to 30 days |
| Sale of your home | Your current home doesn’t sell in time | Often 30 to 60 days |
| Title | Title problems like liens can’t be cleared | Until closing |
| HOA documents | The HOA’s rules, finances or fees are unacceptable | Several days after receiving them |
Deadlines matter
Each contingency has a deadline. If you don’t cancel or ask for changes in writing before it passes, you usually lose that protection. Put every date on your calendar the day your offer is accepted.
Waiving contingencies
- Inspection: you buy the home as-is, including hidden problems. A safer middle ground is an “informational” inspection, where you can walk away but won’t ask for repairs.
- Appraisal: you agree to pay the price even if it appraises lower, covering the gap in cash. Capping your gap coverage is safer; see appraisal gaps.
- Financing: if your loan falls through, you could lose your deposit. Only consider it with an underwritten approval and backup funds.
Safer ways to compete
- Shorten periods instead of removing them.
- Schedule the inspection before you offer, where sellers allow it.
- Get fully underwritten before you shop.
- Offer a larger deposit or flexible closing date instead.
See which combination works best with the offer strength score.
Your deposit is what’s at stake
Contingencies are what protect your earnest money; see what is earnest money? If you need to sell first, see buying before you sell yours.
Common questions
What contingencies should every buyer include?
Most buyers should keep inspection and financing contingencies; an appraisal contingency or capped gap coverage protects your cash.
What happens if I miss a contingency deadline?
You usually lose that protection, so canceling for that reason later could cost your earnest money.
Is waiving contingencies ever a good idea?
Only with a clear understanding of the risk and the cash to absorb it; shortening periods is usually safer.
Updated October 2026. Educational content. OfferBacked is not currently a lender and doesn’t issue pre-approvals or loans.