Augusta
VIP Contributor
There's always the need for mortgage contingency in a real estate transactions which will help the buyer. From the term it is a clause in mortgage transactions which affords a home buyer a timeframe to secure a mortgage loan for a home.
Now the clause is to give the buyer the power walk away without legal repercussions If the mortgage loan can't be secured, and again, with the clause the buyer can have their earnest money deposit returned.
Reasons to adopt this clause as a buyer
For structural issues
it will help you walk away easily if there's structural issues with a property
Ownership being in dispute
if the ownership of the property is being disputed.
Now the clause is to give the buyer the power walk away without legal repercussions If the mortgage loan can't be secured, and again, with the clause the buyer can have their earnest money deposit returned.
Reasons to adopt this clause as a buyer
For structural issues
it will help you walk away easily if there's structural issues with a property
Ownership being in dispute
if the ownership of the property is being disputed.
