In Arizona, all of the following are common contingency types in residential purchase contracts EXCEPT:
Correct Answer
D) Neighborhood demographics contingency
Correct: Neighborhood demographics contingencies are not standard and could potentially violate fair housing laws. Why not A: Financing contingencies are very common and protect buyers. Why not B: Inspection contingencies are standard in most residential contracts. Why not C: Appraisal contingencies protect buyers when property doesn't appraise at contract price.
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Related Topics & Key Terms
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Related Concepts
Contingencies are conditions written into a real estate contract that must be met before the transaction can close. If a contingency is not satisfied, the buyer can typically cancel the contract without penalty.
Contract termination occurs when a contract is ended or discharged, releasing both parties from their obligations. A contract can be terminated through performance, mutual agreement, operation of law, or breach.
A counteroffer is a response to an original offer that changes one or more terms of the offer, effectively rejecting the original offer and creating a new offer. The party who makes the counteroffer becomes the new offeror.
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At Desert Mesa Brokers in Gilbert, Under current Arizona rules, which statement best describes offer and acceptance?
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