What is the order with a contingent home buyer and second cash offer?

UPDATED: Oct 1, 2022

Advertiser Disclosure

It’s all about you. We want to help you make the right legal decisions.

We strive to help you make confident insurance and legal decisions. Finding trusted and reliable insurance quotes and legal advice should be easy. This doesn’t influence our content. Our opinions are our own.

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

What is the order with a contingent home buyer and second cash offer?

We accepted an offer that is contingent on the buyers sale of their home. We

received another cash offer and would like to counter. Do we give the contingent buyers a notice to perform or can we counter with the cash buyers to see if they will accept the counter offer, then give the notice to perform?

Asked on July 17, 2018 under Real Estate Law, South Dakota


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 4 years ago | Contributor

Do not counter yet on the 2nd offer until you extricate yourself from the first (assuming you can extricate yourself)--otherwise, if you counter to the 2nd offer and those buyers take your counter and the first buyers fulfill their contingency, you will be contractually obligated to sell your home to two different people--which means at least one of them can sue you for breach of contract and/or fraud. 
You have to wait until the first buyers fail to sell their home within whatever time frame is given to them and the first deal terminates before you can safely counter, since your counter becomes an offer that the person being countered to can accept, creating a binding agreement, even if their acceptance would be bad for you under the circumstances.

IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption