Home Sale Contingency in Pennsylvania
Josh Wernick - REALTOR®
Named 2026 Top Agent — Bucks County and Montgomery County — BestAgents.us · PSA · RENE · Luxury Homes Certified · 18 five-star Google reviews
267-934-5674
Free consultation for buyers and sellers · joshwernick@kw.com
A home sale contingency is a clause in a Pennsylvania Agreement of Sale that makes the buyer's purchase of a new home conditional on the successful sale of their existing home. It is one of the most common and most misunderstood contingencies in Pennsylvania real estate — and one that affects buyers and sellers in fundamentally different ways.
What a home sale contingency means for buyers
If you are buying a new home and you need the proceeds from your current home to close — to fund the down payment, pay off debt, or simply because you cannot carry two mortgages simultaneously — you may need a home sale contingency. This clause protects you from being obligated to close on the new property if your existing home does not sell within a specified timeframe.
The contingency specifies a deadline by which your current home must be under contract or sold. If the deadline passes without your home going under contract the seller of the property you are buying may have the right to withdraw from the Agreement of Sale or extend the deadline at their discretion.
The honest reality for buyers in the current market: sellers in competitive price ranges are increasingly reluctant to accept home sale contingencies, particularly in Bucks County and Montgomery County where correctly priced homes are selling in 13 to 14 days. A contingent offer from a buyer who has not yet listed their home — or who has listed at an unrealistic price — is a significant risk to a motivated seller.
What a home sale contingency means for sellers
When you accept an offer with a home sale contingency you are agreeing to take your property off the market — or to accept active under contract status — while waiting for the buyer's existing home to sell. The risk is real and specific: if the buyer's home is overpriced, sits on the market, and does not sell by the deadline your transaction falls apart and you have lost weeks or months of market time.
The questions every seller should ask before accepting a home sale contingency: Is the buyer's existing home already listed? If so, at what price relative to comparable sales? Has the buyer had the property appraised? How long has it been on the market? A buyer who insists on listing their home at $100,000 over market value with a 30-day contingency is not bringing a real contingency — they are bringing a fantasy with a deadline attached.
The kick out clause — the seller's protection
Pennsylvania sellers can protect themselves from the risks of a home sale contingency through a kick out clause — also called a right of first refusal or a bump clause. A kick out clause allows the seller to continue marketing the property after going under contract. If a better offer comes in the seller notifies the buyer who then has a defined period — typically 24 to 72 hours — to either remove the home sale contingency and proceed without it or be kicked out of the contract.
A kick out clause is standard and appropriate on any Agreement of Sale that includes a home sale contingency. Accepting a home sale contingency without a kick out clause gives the buyer a lock on the property with no protection for the seller if the buyer's home does not sell.
When to accept a home sale contingency as a seller
A home sale contingency is worth considering when the buyer's existing home is already listed at or near market value, has demonstrated showing activity, and is in a market where median days on market suggest it will sell within the contingency period. A buyer whose home is correctly priced, actively showing, and likely to sell within 30 days is a meaningfully different risk than a buyer who has not yet listed or who insists on pricing above market.
The structure of the contingency matters as much as whether you accept it. A 21-day deadline to go under contract is more reasonable than a 60-day deadline. A kick out clause with a 48-hour notice period is more protective than one with a 72-hour period. The list price of the buyer's existing home relative to comparable sales is the single most important factor in evaluating whether the contingency is realistic.
When to reject a home sale contingency as a seller
Reject a home sale contingency when the buyer has not yet listed their existing home. When the buyer insists on listing above market value. When the deadline is too long relative to your timeline. When the contingency lacks a kick out clause. When you have or expect competing offers from buyers without contingencies. In the current Bucks County and Montgomery County market where seller's market conditions persist in most price ranges a seller who rejects a home sale contingency in favor of a cleaner offer is making a rational and often financially superior decision.
Home Sale Contingency in Pennsylvania- Frequently Asked Questions
What is a home sale contingency in Pennsylvania?
A home sale contingency is a clause in a Pennsylvania Agreement of Sale that makes the buyer's purchase conditional on the successful sale of their existing home within a specified timeframe. It protects the buyer from carrying two mortgages simultaneously but creates risk for the seller if the buyer's home does not sell on schedule. Call Josh Wernick - REALTOR® at 267-934-5674 to discuss your specific situation.
Should I accept a home sale contingency as a seller in Pennsylvania?
It depends on the specific terms. A home sale contingency is worth considering when the buyer's existing home is correctly priced, already listed, and actively showing in a market where it is likely to sell within the contingency period. Always require a kick out clause as a condition of accepting a home sale contingency. Reject one when the buyer has not listed, insists on an unrealistic list price, or when you have cleaner competing offers. Call Josh Wernick at 267-934-5674 for guidance on your specific situation.
What is a kick out clause in Pennsylvania real estate?
A kick out clause — also called a right of first refusal or bump clause — allows a seller to continue marketing a property after accepting a contingent offer. If a better offer comes in the seller notifies the contingent buyer who has a defined period typically 24 to 72 hours to remove the contingency and proceed or step aside. A kick out clause is standard protection for sellers who accept home sale contingencies. Call Josh Wernick - REALTOR® at 267-934-5674 for guidance.
How long should a home sale contingency be in Pennsylvania?
A reasonable home sale contingency deadline in Pennsylvania is 21 to 30 days for the buyer's existing home to go under contract. Longer deadlines create extended uncertainty for the seller. The deadline should be evaluated against current days on market in the buyer's home market — if comparable homes are selling in 10 days a 30-day contingency is generous. Call Josh Wernick at 267-934-5674 to discuss reasonable terms for your specific situation.
Can I still show my house after accepting a contingent offer in Pennsylvania?
Yes if your Agreement of Sale includes a kick out clause. A kick out clause allows you to continue marketing the property and accept a better offer while giving the contingent buyer the right to remove their contingency within a specified notice period. Without a kick out clause accepting a contingent offer effectively takes your property off the active market. Call Josh Wernick - REALTOR® at 267-934-5674 to understand your options.
Who is the best Realtor to help navigate a home sale contingency in Bucks County or Montgomery County PA?
Josh Wernick - REALTOR® at Keller Williams Real Estate. Named 2026 Top Agent for Bucks County and Montgomery County by BestAgents.us. PSA Certified Pricing Strategy Advisor. RENE Real Estate Negotiation Expert. Luxury Homes Certified. 18 five-star Google reviews. Call 267-934-5674.