Kick-out clause
A clause that lets the seller keep marketing the home after accepting a contingent offer. If a better offer comes in, the first buyer gets a short window to remove the contingency or step aside.
Also called: escape clause, 72-hour clause, kickout clause
Related terms
A contract term that makes the purchase depend on the buyer selling their current home. Sellers often accept it only with a kick-out clause.
A condition in the contract that must be met for the sale to go forward, such as an inspection, loan approval or appraisal. If it fails within the deadline, the buyer can usually cancel and keep the earnest money.
The seller has accepted an offer, but the deal still depends on conditions like an inspection, appraisal, or loan approval. Some contingent homes still take backup offers.
The signed contract between buyer and seller that sets the price, deadlines, contingencies and terms of a sale. Once both sides sign, the property is under contract.