disclosure form. Disclosure laws vary greatly from one state to another. Some states have pretty stringent laws that require the seller to carry out an active inspection of the property to search for any kind of flaws that they might not have noticed, so be aware of your state’s regulations on this subject. STAGE 4: DESCRIBING THE CONTINGENCIES Contingency is quite simple: it means that the seller has accepted an offer made by the buyer, but the closing of the deal depends on certain conditions being fulfilled. Both parties are free to walk away from the deal if such contingencies ever occur. There are different types of contingencies. Any contingency clauses must be described in detail in the sales contract. As a buyer, you must concern yourself with only two of these: Financing Contingencies — A financing contingency is a clause that allows the buyer to liquidate the deal in case he/she is unable to secure a mortgage. The financing contingency protects the interests of both the buyer and the seller. Usually, the buyer is provided with a time period in which to obtain financing for the purchase. If the buyer is unable to secure a
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