How Does a Home Sale Contingency Work When You're Buying and Selling at the Same Time?

A home sale contingency is a clause in your purchase offer that makes the deal dependent on your current home selling first, usually within a set window of 30, 60, or 90 days. It lets you commit to a new home without being stuck owning two properties at once, but most sellers will only accept one if they also get a kick-out clause that lets them keep marketing their home and bump you out of the deal if a stronger offer comes in. In other words, the contingency protects you from being stuck mid-move, while the kick-out clause protects the seller from being stuck waiting on you.

What Exactly Does a Home Sale Contingency Do?

A home sale contingency ties your ability to close on a new home to the successful sale of your current one. If your home doesn't sell within the agreed window, you can typically walk away from the purchase contract and get your earnest money back, rather than being forced to close on a house you can't actually afford to carry alongside your old one. That protection is exactly why sellers tend to view these offers as riskier than a straightforward, no-contingency offer from a buyer who's already sold or who doesn't need to sell at all.

What Is a Kick-Out Clause, and How Does It Work?

A kick-out clause (sometimes called a 72-hour clause, though the window can be shorter) lets the seller keep the home on the market and keep accepting showings even after going under contract with a sale-contingent buyer. If a better offer comes in, the seller notifies the original buyer, who then has a set window — often 72 hours, but sometimes 48, 24, or even 12 — to either remove their sale contingency and proceed, add more earnest money to show they're serious, or walk away and get their deposit back. If the buyer doesn't act in time, the seller is free to accept the new offer.

How Common Are Sale-Contingent Offers in a Competitive Market?

Sale-contingent offers tend to be more common when the market isn't moving at full speed, and less common in a hot, multiple-offer environment where sellers can simply choose a buyer who doesn't need one. In Los Angeles County's current market, where inventory has stayed fairly tight in several neighborhoods, a sale-contingent offer usually needs some kind of sweetener — a higher price, a larger deposit, or a shorter contingency window — to compete with buyers who've already sold or who are paying cash.

How Can You Make a Sale-Contingent Offer More Competitive?

Getting your home pre-market-ready, or even quietly listing it before you make an offer on the next one, shortens the runway a seller has to worry about. A larger earnest money deposit signals that you're financially committed, and agreeing to a shorter kick-out window (say, 24 or 48 hours instead of 72) can reassure a seller that they won't be stuck waiting long if a better offer shows up. Some buyers also get pre-approved for a bridge loan or HELOC as a backup, so that if needed, they can remove the sale contingency entirely and close on the new home regardless of their old one's status.

What Should You Discuss With Your Agent Before Making This Kind of Offer?

Talk through your realistic timeline for selling, what price your current home needs to sell at to make the math work, and whether a bridge loan or HELOC could serve as a fallback if your sale takes longer than expected. Your agent can also help you gauge how a particular seller is likely to feel about a contingency — some sellers who aren't in a rush are far more open to it than others who need a fast, certain close.

Frequently Asked Questions

Can I remove a home sale contingency after my offer is accepted? Yes. If your current home sells faster than expected, or if you decide to proceed without the contingency (for example, by securing a bridge loan), you can typically remove it in writing at any point before the kick-out window forces the decision.

What happens to my earnest money if I can't remove the contingency in time? If your contract is written correctly, you should get your earnest money back when the sale-contingency clause allows you to cancel. This is one of the most important details to confirm with your agent and escrow officer before signing.

Do sellers always require a kick-out clause with a sale-contingent offer? Not always, but most sellers' agents will push for one, since it lets their client keep the home actively marketed while giving your offer a chance to work out.

Is a sale-contingent offer ever stronger than a cash offer? Rarely, on price and certainty alone. Where it can compete is when the home needs a buyer who will live in it long-term, or when the seller isn't in a rush and values a solid, well-qualified local buyer over the fastest possible close.

Updated for October 2026.