Why You Should Avoid Contingent Offers in California’s Slowing Market

Contingent offers may sound convenient, but they often delay closings and create stress. Here’s how to stay in control of your move.

In real estate, timing can make or break a deal. And right now, the biggest mistake I’m seeing, whether you’re a buyer or a seller, is people relying on contingent offers.

What is a contingent offer?

A contingent offer is when a buyer needs to sell their current home before they can buy their next one. It sounds simple, but it can get messy fast, especially as the market slows down for the holidays. Here’s why.

When you accept a contingent offer as a seller, your property is tied up while the buyer tries to sell their own home. If they can’t sell it, or they’ve priced it unrealistically, you’re stuck waiting. And if that deal falls apart, you have to go back on the market.

That’s when buyers start asking, “What’s wrong with the house?” even though the problem wasn’t the house at all but the buyer’s situation.

What should sellers do?

Steer clear of contingent offers if you can. If you absolutely must accept one, make sure the timeline for their sale is short and that your agent helps you stay in control of the process.

"The smartest move you can make is going non-contingent."

What’s the best option for buyers?

If you’re a buyer, you might be thinking, “That’s great, but I have to sell my current home to afford the next one!” I get that most people can’t handle two mortgages at once.

That’s exactly why we created our Buy Before You Sell Program. With this program, you can make a non-contingent offer on your next home, move in, and then sell your current one.

What are the benefits of this program?

You won’t be stuck juggling showings, packing, and living in a “model home” with kids or pets running around. You get to move comfortably, and once you’re settled, we help you list and sell your first home, often for more money because it’s empty, staged, and easy to show.

Additionally, when you make a non-contingent offer, you’re instantly more competitive. You don’t have to offer over asking just to get noticed because you come in strong from the start.

To prove this works, I’ll share a personal story. My dad had his home listed, and we turned down three contingent offers. He was nervous, but we waited. Within a few weeks, we got a full-price, non-contingent offer that closed in just 21 days.

Sometimes the best move is to wait a little longer for the right deal.

If you’re planning to sell or buy soon, don’t let a contingent offer hold you back. Let’s talk about your options and how our Buy Before You Sell Program can make the whole process smoother. Reach out to me and my team at (855) 935-6673 or email us at [email protected], and we’ll make sure you move with confidence, not uncertainty.