You finally found a buyer, but their offer is contingent. Now what? If you are selling or trading up in Downers Grove, contingent offers can feel risky and confusing. You want a smooth sale, the right price, and a timeline that actually works for your family. In this guide, you will learn what contingent offers really mean, how to protect yourself, and smart ways to keep your move on track in our local market. Let’s dive in.
What a contingent offer means
A contingency is a contract condition that must be met before the sale is final. If the condition is not met by the agreed deadline, the buyer can usually cancel or renegotiate. The National Association of REALTORS has a helpful overview of common contingency terms, including continue to show, kick-out clauses, and rent-backs.
- Read more about common contingencies and seller options in the NAR consumer guide: contract contingencies explained.
Common contingency types
- Inspection contingency. The buyer orders an inspection and can ask for repairs or credits. Typical inspection windows run 7 to 14 days, but your contract controls the exact dates.
- Financing contingency. The buyer’s loan must be approved. Underwriting and appraisal steps often make this window a few weeks long.
- Appraisal contingency. If the appraisal comes in low, the parties can renegotiate, the buyer can cover the difference in cash, or the contract can be canceled. Appraisals are often scheduled and completed within 1 to 3 weeks of acceptance.
- Home-sale contingency. The buyer must sell their current home before they are required to close on yours. This adds uncertainty for you as the seller and usually calls for extra protections.
For closing timelines and what happens behind the scenes with lenders and title, see this overview of the process: typical closing steps and timing.
Why contingencies matter in Downers Grove
Recent vendor snapshots show a competitive market in Downers Grove, with reported median prices ranging roughly from the mid-400s to the high-500s and days on market around the mid-50s range, depending on the data source and time frame. Segments under about 600,000 have often moved faster, while higher tiers can take longer. Because leverage shifts by price band and inventory, sellers here often prefer cleaner offers or strong seller protections when a buyer includes a home-sale contingency.
Seller strategy: evaluate and protect
When you receive a contingent offer, slow down and analyze the risk. You can accept the offer and still keep control of your timeline and price if you add the right terms.
How to evaluate a contingent offer
- Confirm pre-approval. Ask for a current lender pre-approval letter, not just a pre-qualification.
- Review earnest money. Higher earnest money shows commitment. Note when it becomes nonrefundable.
- Ask about the buyer’s home status. Is it listed, under contract, or still preparing to list? Get proof of progress with deadlines in writing.
- Nail down calendar dates. Put specific dates and cut-off times on inspection, appraisal, financing, and contingency removals to avoid confusion.
- Decide on showings and backups. Clarify whether the home will continue to be shown and whether you will accept backup offers. Local MLS rules vary, so your agent should verify how the status will display and how backups are recorded.
Use seller protections
- Add a kick-out clause. A kick-out clause lets you accept a sale-contingent offer and keep marketing the home. If a better offer arrives, the original buyer gets a short window to remove their contingency or step aside. Typical windows are 24 to 72 hours and must be written into the contract. Learn more about kick-outs here: kick-out clause basics.
- Continue to show and line up backups. Keeping the listing visible and accepting a documented backup offer reduces downtime if the first contract fails. NAR’s consumer guide covers continue-to-show and related options: how contingencies work.
- Provide a pre-listing inspection. Sharing a recent inspection and repair receipts can lower the chance of post-inspection surprises and re-trades. Here is more on making inspections work for sellers: pre-listing inspection advantages.
Buyer strategy: win without overreaching
If you are moving up within Downers Grove, you might need a contingency to avoid owning two homes. You can still compete by preparing well and negotiating clearly.
When to use a home-sale contingency
Use a sale contingency when your equity is tied up in your current home and you cannot safely carry two mortgages. In a faster segment, sellers may resist these terms. In a slower segment or at higher price points, you might have more room to negotiate.
Alternatives to a home-sale contingency
- Bridge loan. Short-term financing that taps your equity so you can buy first. Usually faster but may carry higher rates and fees.
- HELOC or home-equity loan. Often lower cost than a bridge loan, but setup can take time and rates may vary.
- Carry two mortgages. If you qualify and the risk is acceptable, this can be the simplest path. Your lender and agent should model costs and timelines.
Make your contingent offer stronger
- Show real progress. Have your current home listed, staged, and actively shown. Share proof of activity and your pricing plan.
- Tighten timelines. Offer a shorter inspection window and prompt appraisal scheduling.
- Increase earnest money. Larger earnest money can offset the seller’s perceived risk.
- Be flexible on possession. Offer a short rent-back to the seller if that eases their move. NAR’s guide explains rent-back basics within contingency frameworks: seller rent-back context.
Timelines that work in DuPage
Most financed transactions close in about 30 to 45 days from acceptance. Cash can be faster, sometimes 7 to 21 days. Inspection periods typically run 7 to 14 days, and appraisals are often completed within 1 to 3 weeks, depending on scheduling and lender pace. For context on these ranges, see this guide: closing timelines and steps.
Here is a sample 45-day timeline for a financed offer:
- Days 1 to 3. Buyer schedules inspection. Seller provides disclosures and access.
- Days 7 to 10. Inspection completed and requests negotiated. Contingency removal by 5:00 PM on the agreed date.
- Days 10 to 25. Appraisal ordered and completed. Title work progresses.
- Days 21 to 35. Loan underwriting clears conditions. Financing contingency removal on a set calendar date.
- Days 35 to 45. Final walkthrough and closing. Possession terms begin as agreed.
Always convert general timeframes into exact calendar dates and times in the contract. Clear dates protect everyone.
Plan for buying and selling together
If you are moving up within Downers Grove, a solid plan keeps your family on track.
Phase A: Preparation
- Sellers. Order a pre-listing inspection, gather repair receipts, and stage for photos. This reduces inspection risk later.
- Buyers. Secure a strong pre-approval and explore bridge or HELOC options. Ask lenders for written timelines and what they need from you to close on time.
Phase B: Listing and marketing
- Decide your listing status strategy. Active and showable, active-contingent with backups, or contingent. Confirm how MRED and local MLS rules display your status and backups.
- If you may accept a sale-contingent buyer, prepare a kick-out addendum with a 48-hour response window. Adjust to 24 or 72 hours based on your price tier and demand.
Phase C: Offer acceptance and contingencies
- Inspection. Set a 7 to 14 day window. Require scheduling within the first 3 days.
- Financing and appraisal. Expect 21 to 45 days depending on the lender. Set a financing removal date tied to clear milestones.
- Home-sale contingency. Require proof of listing, showing activity, or a signed contract on the buyer’s home. Put deadlines in writing and enforce them.
Phase D: Coordinating closings and move-out
- Align closing dates during negotiations. If someone needs time after closing, write a short rent-back with clear rent, insurance, and move-out dates.
- If using bridge or equity financing, coordinate payoff and wires early with lenders and title to avoid day-of-closing delays.
Phase E: If a contract falls through
- If financing fails or a contingency is not met, move to a documented backup offer if you have one. If not, return to market quickly with refreshed marketing and showing plans.
Quick checklists
Seller checklist for a contingent offer
- Get the buyer’s current pre-approval letter and lender contact.
- Clarify if the buyer has a home-sale contingency. If yes, add a kick-out clause and proof-of-progress requirements.
- Decide on showing status and whether to accept backups. Verify how the listing will display.
- Confirm earnest money amount and when it becomes nonrefundable.
- Ask if the buyer is using bridge or equity financing and request a lender timeline.
Buyer checklist for a sale-contingent offer
- Ask your lender if you can qualify to buy before you sell or use a bridge or HELOC.
- Propose a reasonable kick-out response time. Typical ranges are 24 to 72 hours.
- Align MLS status with your risk tolerance. Know if the seller will continue showings and accept backups.
- Put clear calendar dates on inspection, appraisal, and financing removals.
- Plan for appraisal outcomes. Decide early how you will handle a low appraisal.
Local notes for Downers Grove
The mix of property types and price points in Downers Grove creates micro-markets. In recent periods, many homes have sold near or over asking in faster segments, while higher price tiers often see longer timelines. Because vendor snapshots differ, treat public numbers as directional and base your strategy on your exact price band, condition, and current competing inventory. A clear plan with dates, documentation, and the right protections usually beats trying to time the market perfectly.
What if things go sideways
If a buyer’s financing stalls or an appraisal comes in low, your best move is to follow the contract timelines and lean on the protections you built in. A kick-out clause, clear contingency removal dates, and a solid backup offer can save weeks of downtime. Keep records of all notices and confirmations, and be ready to re-market quickly if needed.
The bottom line
Contingent offers are workable when you control the risk. In Downers Grove, strong presentation, precise dates, and a kick-out clause can protect your sale while keeping real buyers engaged. If you are buying and selling at the same time, map the steps, line up financing options, and put every deadline in writing. That is how you protect your equity and your calendar.
If you want a calm, step-by-step plan tailored to your price range and timeline, reach out to Annamarie Moise. Let’s make your move simple and successful.
FAQs
What is a kick-out clause in a home-sale contingency?
- It lets a seller accept a sale-contingent offer while still marketing the home. If a better offer arrives, the original buyer has a negotiated period, often 24 to 72 hours, to remove the contingency or step aside.
How long do contingent deals take in Downers Grove?
- Most financed deals close in about 30 to 45 days from acceptance. Inspection often runs 7 to 14 days and appraisal 1 to 3 weeks, but exact dates come from your contract and lender pace.
Can sellers keep showing a home under a contingent contract?
- Often yes. Listings can be marked continue to show and accept backups, but MLS labels and rules vary. Your agent should confirm how MRED displays the status and handles backups.
How can I make a sale-contingent offer more competitive?
- List your current home early, provide proof of activity, offer larger earnest money, shorten inspection timelines, and consider a seller rent-back to ease their move.
What happens if the appraisal is low on a contingent offer?
- You can renegotiate price or credits, the buyer can cover the gap, or the contract can be canceled if the appraisal contingency is not satisfied. Spell out remedies in the contract early.
