Trying to buy in Merrick but need the equity from your current home to make it happen? You are not alone. Many South Shore buyers want to move without juggling two mortgages or risking their deposit. In this guide, you will learn what a home sale contingency is, how it works in Nassau County, and smart ways to stay competitive in Merrick. Let’s dive in.
Home sale contingency basics
A home sale contingency is a clause in your purchase contract that says you will buy the new home only if your current home sells within an agreed period. It protects you from owning two homes or coming up short on the down payment if your sale falls through. You and the seller negotiate the details, including deadlines and what happens if your home does not sell in time.
How it works in Merrick
At its core, your obligation to close is tied to a specific trigger, a timeline, and your efforts to sell. Here are the key parts:
- Trigger event: Your sale reaches a defined milestone. Some contracts require an accepted contract on your home. Others require your sale to fully close.
- Time limits: The contingency runs for a set period, often 30 to 60 days, sometimes up to 90 days. All timing is negotiable.
- Your obligations: You agree to actively market your home, share updates, and provide documents like a listing agreement or proof of showings and offers.
- Seller protections: Many contracts include a “kick-out” clause. The seller can keep marketing and accept a backup offer, then give you a short window (commonly 24 to 72 hours) to remove your contingency.
- Deposit handling: The contract should state if your earnest money is returned if the contingency is not met. Clear language helps protect your funds.
- Extensions: If you are making good-faith progress, you can negotiate an extension, but it is up to both parties.
Other standard contingencies still apply. Your financing, appraisal, inspection, and title steps will continue on their own timelines. Lenders often want to see how you will handle the purchase if your sale is delayed, so early conversations are essential.
Local norms and timing in Nassau County
In New York, both buyers and sellers typically work with real estate attorneys who draft and review contracts. The home sale contingency language is customized, so you should involve your attorney before you submit or accept terms. You can learn more about customary attorney involvement from the New York State Bar Association.
Merrick sits in a suburban market that can become competitive when inventory is tight. In faster periods, sellers are less likely to accept contingencies unless the rest of the offer is compelling. For current inventory and pricing context, review recent data from OneKey MLS market reports.
New York closings commonly take several weeks to a few months. A typical negotiated window is often 30 to 60 days from contract signing. Timelines can stretch if your purchase depends on another sale or if municipal needs arise. For property taxes, assessments, and recording office details that may affect closing steps, visit the Nassau County government.
Your options if you must sell to buy
If proceeds from your current home are needed, you still have choices:
- Contingent offer with strong terms: Keep the contingency period tight, increase the deposit, share marketing proof, and accept a reasonable kick-out.
- Sell first: List your home before you write an offer in Merrick. This lowers risk but can mean temporary housing.
- Synchronized closings: Line up both closings on the same day or week. This takes coordination among your lender, attorneys, and title partners.
- Bridge loan or HELOC: Short-term financing can help you purchase before you close on your sale. Rates and underwriting vary by lender.
- Offer seller flexibility: If the seller needs time after closing, a rent-back period can make your contingent offer more attractive.
For broad planning guidance on market dynamics that affect timing and leverage, the National Association of Realtors offers useful resources. For a legal overview of contingency mechanics and example concepts, you can also review Nolo’s overview of home sale contingencies.
Make a contingent offer competitive
You can improve your odds in Merrick by making the seller’s path to closing feel clear and low risk.
- Increase your earnest money deposit to show commitment, subject to attorney review.
- Tighten timelines to 21 to 30 days if feasible.
- Provide documentation like your listing agreement, marketing activity, or an accepted contract on your home.
- Show financial strength with a firm pre-approval and, if relevant, bridge financing pre-approval.
- Be flexible on closing date or consider covering select seller costs to offset the contingency.
When to skip the contingency
It can be smart to avoid an HSC when the market is very competitive, when a seller needs a quick and certain closing, or when multiple strong offers are expected. If you can qualify to carry both homes briefly or secure bridge financing, a non-contingent offer may be safer for your deal.
Risks and trade-offs
- Lower acceptance odds in a hot market.
- Time pressure if your home does not attract offers quickly.
- Financing complexity if your approval depends on sale proceeds.
- Kick-out risk if the seller triggers your decision window and you cannot remove the contingency.
A simple Merrick timeline
- Day 0: Offer accepted with a home sale contingency. Contract states what must happen and by when.
- Days 0 to X: You list and actively market your home. You provide updates as agreed.
- Kick-out event: If the seller gets a backup offer, you may have 24 to 72 hours to remove your contingency.
- Before closing: Coordinate lender, title, and attorney steps so both closings align if your sale goes under contract.
Your pre-offer checklist
- Meet with a local agent to understand current Merrick conditions and seller preferences.
- Obtain a strong pre-approval and explore bridge financing if needed.
- Prepare your listing materials and marketing plan so your home hits the market fast.
- Ask your New York real estate attorney to draft or review contingency language, including triggers and kick-out terms.
- Confirm how your deposit is handled if the contingency is not met.
- Align inspection, appraisal, and title timelines with your contingency clock.
- Ask about recording and closing logistics that apply in Nassau County.
Ready to map the right path for your situation in Merrick? Let’s talk strategy, timing, and options that fit your goals. Connect with Robyn Goldowski to get a personalized plan and get your instant home valuation.
FAQs
Will sellers in Merrick accept a home sale contingency?
- It depends on current inventory and demand. In competitive periods, sellers are less likely to accept contingencies unless you offset risk with tight timelines, documentation, or stronger terms.
How long should the contingency period be in Nassau County?
- Many buyers and sellers negotiate 30 to 60 days. Shorter periods can make your offer more attractive while still giving you time to market your home.
Should my contingency require an accepted contract or a closed sale?
- Requiring an accepted contract is less protective for you but more appealing to sellers. Requiring a closed sale protects you more. Ask your New York attorney to tailor the language to your risk tolerance.
Can the seller keep my deposit if my home does not sell?
- If you follow the contract terms and invoke the contingency correctly, deposits are often returned. If you fail to meet your obligations, the seller may claim the deposit. Your attorney will advise based on your contract.
Are some lenders more open to contingent purchases on Long Island?
- Yes. Some lenders will work with you if you can show the ability to carry both loans or you have bridge financing. Speak with a lender early to understand requirements.
Do I need a real estate attorney in New York?
- Yes. New York customarily uses attorneys for real estate contracts, including contingency language and coordinated closings. The New York State Bar Association provides more background on local practice.
