Buying a home in Marin County often means moving fast while protecting your deposit. You want your offer to stand out, but you also want the flexibility to back out if something major comes up. Understanding contingencies helps you strike that balance with confidence.
In this guide, you’ll learn what the key contingencies are, how they work in California, and the timelines and strategies commonly used in Marin. You’ll see where you can push for a stronger offer and where you should slow down to reduce risk. Let’s dive in.
What contingencies are
Contingencies are written conditions in your purchase agreement. They give you time to investigate the property, confirm value, and secure your loan. If a contingency is not met, you can usually cancel within the stated deadline and keep your deposit, according to the contract.
When you remove or waive a contingency, you give up that specific right to cancel. In Marin’s competitive market, some buyers shorten or waive certain contingencies to win a home. The key is knowing the trade-offs before you decide.
The three core contingencies
Inspection contingency
An inspection contingency gives you time to inspect the home and review disclosures. You can order a general home inspection plus specialists as needed. If results are not acceptable, you can negotiate repairs or credits, or you can cancel within your inspection period.
In Marin, buyers often add inspections for local risks. Older wood-frame homes commonly warrant a pest or termite report. Rural properties may need septic inspections. Hillside homes often benefit from geotechnical reviews, and many buyers add wildfire and vegetation assessments.
Suggested inspection list in Marin:
- General home inspection
- Pest/termite inspection
- Roof, HVAC, and sewer scope (older neighborhoods)
- Septic inspection for rural properties
- Geotechnical review for hillside sites
- Wildfire and vegetation clearance assessment
Appraisal contingency
An appraisal contingency protects you if the appraised value comes in lower than your contract price. If that happens, your lender may reduce the loan amount, and you can try to renegotiate, bring in more cash, or cancel if your contingency is still in place.
In higher-priced Marin areas, appraisals sometimes trail winning offer prices. Many buyers use an appraisal gap clause that commits a set amount of extra cash if the appraisal is short. Others waive the appraisal contingency entirely to compete, which is stronger for the seller but riskier for you.
Loan contingency
A loan contingency protects you if your financing falls through on the terms in your contract. You must apply in good faith and provide documents to your lender. If the loan is denied within the contingency period, you can typically cancel and retain your deposit.
In Marin, jumbo loans are common and can require more underwriting time. Sellers favor strong pre-approvals and shorter loan contingency periods, but you should set a timeline your lender can meet without stress.
Other useful contingencies
- Sale-of-home contingency: lets you cancel if you cannot sell your current home. In competitive Marin situations, this is often not accepted unless your finances are very strong.
- Title contingency: time to review the title report and resolve issues like liens or easements.
- HOA review: time to read CC&Rs, bylaws, financials, and minutes for condos or homes with associations.
- Specialty contingencies: wildfire, vegetation, septic, flood, or geological reports based on property type and location.
Typical Marin timelines
Common ranges
While timelines are negotiated in every offer, these ranges are common in Marin:
- Inspection: 5–17 days; competitive offers may aim for 2–7 days if you can schedule fast
- Appraisal: often aligned with loan or set at about 14–21 days from opening escrow
- Loan: 17–21 days is typical, but 21–30 days can be needed for jumbo or complex files
- HOA review: about 3–10 days
- Title review: often 10–17 days, depending on issues
Escrow length for financed purchases often runs 30–45 days. All-cash deals can close faster, sometimes within 10–21 days.
How they interact
Inspections, title review, and HOA document review usually run in parallel. The appraisal often lands near the middle or end of the loan period because lenders order it after initial underwriting starts. Keep every deadline visible so you can act early if you hit a snag.
What sellers expect locally
For in-demand homes in places like Mill Valley, Tiburon, Larkspur, and San Rafael, sellers often prefer shorter or waived contingencies and strong proof of funds. All-cash offers are common at the high end. If you need financing, pair a strong pre-approval with realistic timelines and fast inspections.
Strategies to win without excess risk
Strengthen your offer safely
- Get pre-underwritten by your lender and share strong documentation with your offer.
- Shorten your inspection window, but line up inspectors in advance so you can perform them quickly.
- Use an appraisal gap clause rather than waiving appraisal outright, and cap your exposure in writing.
- Keep a reserve for minor repairs or a small appraisal shortfall.
When to consider waiving
You might consider waiving the appraisal or inspection contingency only if you fully understand the risks. At a minimum, aim for targeted inspections of major systems. If you plan to waive appraisal, confirm you can cover a potential gap with cash.
If issues arise after acceptance
- Inspection findings: request repairs, seek a closing credit, or cancel within your window if needed.
- Low appraisal: renegotiate price, request a credit, bring extra cash, or cancel if your contingency is active.
- Loan denial: if your loan contingency is still in place and you acted in good faith, you can typically cancel and keep your deposit.
Marin-specific checks to start early
- Wildfire and insurance: Many areas carry elevated wildfire risk. Confirm insurability and expected premiums early, since coverage and cost can affect your loan approval and total monthly payment.
- Title, easements, and access: Older properties or homes on private roads can have title nuances. Escrow and your title officer can help you review and resolve issues.
- Septic and geology: Rural or hillside properties often benefit from septic inspections and geotechnical reviews.
- HOA health: For condos or planned communities, review budgets, reserves, rules, and meeting minutes within your contingency window.
Action plan for Marin buyers
- Secure a strong pre-approval. If possible, pursue pre-underwriting so you can shorten loan timelines with confidence.
- Build your inspection plan. Identify which specialists you may need based on the property type and location, and confirm availability.
- Set realistic deadlines. Coordinate with your lender and inspectors before you write the offer.
- Plan your appraisal strategy. Decide whether to keep the appraisal contingency, add a defined gap clause, or prepare extra cash.
- Track dates closely. Put every contingency deadline on your calendar and communicate proactively with your agent, lender, and escrow.
The right contingency strategy lets you compete for a Marin home without taking on unnecessary risk. With a clear plan, strong documentation, and quick scheduling, you can move decisively and still protect your deposit.
If you want a tailored contingency plan for a specific Marin property, connect with Aviva Kamler for a calm, data-informed path to winning the right home.
FAQs
What is a contingency in a California home purchase?
- A contingency is a written condition in your contract that lets you cancel within a set timeframe if certain criteria are not met, usually protecting your deposit.
How long are Marin inspection, appraisal, and loan contingencies?
- Typical ranges are inspection 5–17 days, appraisal about 14–21 days or tied to the loan, and loan 17–21 days, with longer periods for jumbo or complex loans.
What happens to my deposit if I waive a contingency?
- If you waive a contingency and later try to cancel for that reason, you generally lose that contractual protection and risk forfeiting your deposit.
Should I waive the appraisal contingency in Marin’s competitive market?
- Consider using an appraisal gap clause to cap your cash exposure instead of waiving outright, and only waive if you can cover a potential shortfall comfortably.
Which inspections are most important for Marin homes?
- Start with a general home and pest inspection, then add roof, HVAC, sewer scope, septic for rural homes, geotechnical for hillsides, and wildfire assessments as needed.
How fast can an all-cash purchase close in Marin?
- All-cash deals often close in 10–21 days, while financed purchases commonly close in 30–45 days depending on underwriting and appraisal timing.
