7 Contingencies You May Want to Include in Your Purchase Offer for Land

When you buy land in North Florida, your real estate agent will build contingencies into your contract. But what contingencies should you include in a land purchase offer? This guide explains.

Whether you’re buying a home for sale in Lake City, timberland, a cattle ranch, a large farm or another type of property, your real estate agent will put contingencies in your offer and purchase contract that protect your interests. Although every offer is different, and the contingencies you include may vary based on your situation and the type of property you’re buying, here are seven contingencies you may want in your contract:

A financing contingency. This contingency says that if you can’t secure financing to purchase the property, as long as you make a good faith effort to do so, you’re not on the hook for buying it.
An appraisal contingency. If the property appraises for lower then what the seller is asking you to pay for it, this contingency lets you exit the deal without paying a penalty.
A perc test contingency. If the property can’t pass a perc test, or if you or the seller are unable to obtain permits for a septic system, you can walk away from the deal.
A water supply contingency. If you can’t find sufficient supply of well water that meets local health standards, you don’t have to purchase the property.
A survey contingency. You may require a survey to be completed that shows the boundaries, the parcels size, and easements or encroachments by neighbors with this contingency in your contract.
A zoning contingency. You may wish to include a zoning contingency in your contract to ensure that zoning regulations are acceptable, or that variances are granted to use the land as you wish to use it.
A design approval contingency. You may wish to include this contingency in your contract if you need to have home plans approved by a design review committee. If the committee doesn’t approve your design, you won’t have to purchase the property anyway.

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