What is typically required before a contingency clause can be cleared?

A contingency clause in a real estate contract is a condition that must be met in order for the contract to proceed to closing. One common example of a contingency clause is a home inspection contingency. This clause allows the buyer to have the property inspected, and if significant issues are found, the buyer may choose to renegotiate the terms of the contract or even withdraw from the transaction altogether.

When a home inspection has been completed and any necessary negotiations regarding repairs or other concerns have been made, the contingency can be cleared, allowing the transaction to move forward. This step is crucial because it ensures that the buyer is satisfied with the condition of the property before they finalize the purchase.

While finalization of the listing agreement, payment of the agent's commission, and approval from the seller's attorney are all important aspects of a real estate transaction, they do not pertain specifically to clearing a contingency clause. These factors deal more with the overall process of selling and buying property rather than addressing the conditions outlined in a contingency that safeguards the buyer's interests. Thus, the requirement to complete a home inspection is directly linked to the clause's resolution.