Contingencies

• Loan Contingency: Ensure the buyer can obtain financing.

• Appraisal Contingency: Protect against the property appraising below the purchase price.

• Inspection Contingency: Allows for a professional inspection of the property.

• Review of Seller Documents Contingency: Time to review all seller-provided documents.

• Preliminary Title Report Contingency: Ensure clear title and review any title issues.

• Common Interest Disclosures Contingency: Review HOA documents and disclosures.

• Review of Leased or Liened Items Contingency: Assess any leases or liens on the property.

• Sale of Buyer’s Property Contingency: Dependence on the sale of the buyer’s current home.

• Insurance Contingency: Ensure the property can be insured.

• Occupancy Contingency: Verify that the buyer can occupy the property as intended.

Financial Terms

• Purchase Price: Negotiate the offer price.

• Earnest Money Deposit: Determine the deposit amount and terms.

• Increased Deposit: Negotiate any additional deposits.

• Seller Credit to Buyer: Negotiate credits for closing costs or repairs.

• Title Fees: Allocation of costs for title services.

• Escrow Fees: Allocation of costs for escrow services.

• Home Warranty Plan: Negotiate inclusion and cost of a home warranty.

Closing Terms

• Close of Escrow Date: Negotiate the timing of the closing.

• Days Until Close of Escrow: Specific time frame for closing.

• Prorations: Ensure accurate prorations of taxes, HOA fees, and utilities.

Property Conditions and Repairs

• Home Repairs: Negotiate repairs before closing.

• Pest Clearance: Ensure the property is free of pests and negotiate related repairs.

• Final Verification of Condition: Time frame for final walkthrough.

Tenant Occupied Properties

• Lease Review: Review and understand existing lease terms.

• Tenant Estoppel Certificates: Verify tenant’s rights and obligations.

• Possession Terms: Negotiate when the tenant will vacate or under what terms they stay.

• Security Deposits: Handling and transfer of tenant security deposits.

Homeowners Association (HOA) Fees and Requirements

• HOA Transfer Fees: Determine who pays the transfer fees.

• HOA Prep Fees: Negotiate preparation fees for HOA documents.

• HOA Rules and Regulations: Review and negotiate based on HOA rules.

• Special Assessments: Understand and negotiate responsibility for any special assessments.

Government and Environmental Requirements

• Natural Hazard Disclosure (NHD) Report: Review and understand hazard disclosures.

• Lead-Based Paint Hazard Disclosures: Ensure compliance with lead paint laws.

• Home Fire Hardening Disclosure: Review requirements for properties in high fire zones.

• Government Compliance: Negotiate any required upgrades or repairs to meet government standards.

Appliances and Fixtures

• Included Appliances: Specify which appliances are included in the sale.

• Excluded Items: Clearly state any items not included in the sale.

Legal and Administrative Terms

• Arbitration of Disputes: Agreement on how disputes will be resolved.

• Liquidated Damages: Terms regarding damages if the buyer defaults.

• Notice to Perform: Requirements for notices if either party fails to meet conditions.

Additional Considerations

• Seller Rent Back: Terms if the seller needs to rent back the property post-closing.

• Utilities and Maintenance: Responsibility for utilities and property maintenance during escrow.

• Assignment of Contract: Conditions under which the buyer can assign the purchase contract to another party.