Buying Your Next Home With a Home-Sale Contingency: A Simple Guide & Checklist

If you need the money (or debt-to-income room) from selling your current home before you can buy the next one, you’ll likely use a home-sale contingency. That’s just a clause in your purchase offer that says: “I will buy this new home if my current home sells and closes by a set date.”

When A Home-Sale Contingency Makes Sense

• Your down payment needs to come from your current home’s equity.
  

• Carrying two mortgages at once isn’t comfortable or won’t qualify.
  

• You want to avoid moving twice or storing everything between homes.

Home Sale Contingency Process

How the Contingent Offer Works (the basics)

• You list your current home (ideally before or at the same time you make offers).
  

• You make an offer on the new home with a deadline to sell and close your current home.
  

• The seller may add a kick-out clause: they can keep showing their home; if another buyer appears, you’ll have a short window (often 24–72 hours) to remove your contingency or step aside.
  

• Once your home is under contract, your contingency often converts to a settlement-only contingency (stronger, because you’ve already found a buyer).
  

• To line up the move, many people use same-day closings or a rent-back (you sell, then “rent” your old home for a short time while you close on the new place).

Simple Timing Playbook

• 6–8 weeks before listing

  • Declutter, handle easy repairs, and get great photos.

  • Get a full preapproval from your lender so your offer looks serious.
    

• List week

  • Go live (Thu/Fri is common).

  • Start actively touring new homes so you’re ready once your sale is pending.
    

• After accepting an offer on your home

  • Write offers with a settlement-only contingency if possible.

  • Work with your agent to align closing dates or negotiate a short rent-back.
    

• Closing week

  • Sell in the morning, buy in the afternoon (when possible), or use rent-back.

  • Do final walkthroughs, sign, fund, record—then move.

A Basic Checklist

Before you offer:

☐ Hire a local real estate agent experienced with contingent deals

☐ Get lender preapproval and know your max payment/price

☐ Prep & list your current home (pricing, photos, launch date set)

☐ Decide preferred timing: same-day close or rent-back

When you write the offer:

☐ Include short, realistic deadlines for selling/closing your home

☐ Offer solid earnest money and a clean offer (fewer extras)

☐ Be flexible on closing date to match the seller’s needs

☐ Provide proof your home is listed (or under contract) to boost confidence

After mutual acceptance:

☐ Move fast on inspection and appraisal items

☐ Communicate weekly: your agent ↔ their agent ↔ lenders ↔ escrow

☐ Keep your home show-ready until it’s firmly pending

☐ Confirm move logistics (movers, utilities, storage if needed)

Tips to Make Your Contingent Offer Stronger

• List first. A live (or pending) listing shows you’re serious.
  

• Use settlement-only when you can (after your home is under contract).
  

• Tight timelines where possible (inspection, financing) keep momentum.
  

• Flexible closing or a seller rent-back can beat a similar non-contingent offer.
  

• Great communication from your agent builds trust with the seller.

Common Pitfalls To Avoid

• Overpricing your current home (it lingers, then everything slips).
  

• Vague timelines (“we’ll sell soon”)—sellers want specific dates.
  

• Slow response times on offers, addenda, or lender requests.
  

• Skipping preapproval—weakens your offer and slows the chain.

Why Your Real Estate Agent Matters

Your agent is the project manager for two deals at once. They will:

• Price and launch your current home to sell quickly without leaving money on the table.
  

• Craft the contingency language, deadlines, and kick-out terms to protect you.
  

• Coordinate back-to-back closings or rent-back so you’re not scrambling.
  

• Keep lenders, escrow, inspectors, and both sides’ timelines in sync.

Bottom Line

Buying your next home with a home-sale contingency absolutely works - with a plan. List first (or get under contract fast), keep deadlines tight, stay flexible, and lean on your real estate agent for strategy and coordination tailored to your unique situation.

Note: Contract forms, timelines, and standard practices vary by state and market. Always review the specifics of your situation with a real estate agent or attorney and lender.

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