by Kent Braaten
on Friday, January 29th, 2021 at 5:43pm.
Congratulations! You have an offer on your property that is conditional on the sale of the buyer’s property. So if you accept it, the property is sold, right?! Well...not quite yet. Let’s explore what this condition means and how it affects you as the seller.
The “Sale of Property” Condition
“Conditionally Sold” implies that you have accepted an offer from a buyer, which is conditional upon the seller and/or buyer being able to fulfill certain agreed upon conditions. Such conditions usually include the buyer being able to obtain a satisfactory home inspection report and securing financing. In the case of the Sale of Property Condition (SOP), the buyer agrees to purchase the seller’s home, as long as the buyer’s home is successfully sold within the agreed upon time frame.
In other words, this means the sale of your home is dependent upon a second home selling. If they don’t sell their home during that period, the deal dies and the buyer gets their deposit back. If the buyer successfully sells their property during the time period, however, they waive the condition just like they would a financing condition, and the home is considered legally sold and binding.