The Seller's Guide to Contingent Offers: Understanding Your Position When You're Also Buying

Here's the reality: If you need to sell your current home to buy your next one, you're not automatically at a disadvantage. But you need to understand exactly where you stand in the eyes of the seller you're making an offer to. We've had this conversation hundreds of times with clients in Cypress and across Orange County. They find their dream home, maybe it's a beautiful property in Sorrento or a newer build in Irvine—and then the anxiety hits: "But we haven't sold our house yet. Are we even competitive?" The answer isn't simple, but it is clear. Let's break down the hierarchy of contingent buyer positions so you know exactly where you stand. Prefer to listen? Stream The Five-Minute Real Estate Fix episode on this topic below:

Understanding the Contingency Hierarchy

When a seller receives multiple offers, they're not just looking at price. They're evaluating risk. How likely is this deal to actually close? How long will it take? What could go wrong? Here's how sellers rank buyers, from strongest to weakest position:

The Gold Standard: Non-Contingent Buyer

This is the dream scenario—no property to sell, funds ready to go, no strings attached. If you've already sold your home, received an inheritance, or have substantial liquidity that doesn't require selling first, you're in the strongest possible position. There's no timing uncertainty, no coordination headache, no wondering if your sale will fall through. If this is you, you have maximum negotiating power.

Strong Position: Property Already in Escrow

Your current home has an accepted offer and is under contract. This is nearly as attractive as being non-contingent because the heavy lifting is done. Why sellers like this: You're not hoping to sell, you're actively in the process. There's a specific close date, a buyer who's already committed, and documentation to prove it. What makes this position strong:

• You can provide the executed purchase agreement for your current home
• There's a defined timeline for when your funds will be available
• The seller knows you're serious and positioned to close
• The lenders involved have ideally already underwritten both transactions

The timeline is predictable. If your current home closes in 30 days, the seller receiving your offer knows when you'll be ready. That's manageable.

Competitive Position: Actively Listed with Strategic Pricing

Your property is on the market, priced to sell, and showing real activity. This is where strategy matters. Being listed isn't enough—you need to demonstrate market readiness. What "strategically priced" actually means:

• You're priced at or slightly below recent comparable sales, not testing the high end of the range
• You're getting showings and feedback, not sitting idle
• Your agent has a clear marketing plan that's already in motion
• You're willing to adjust based on market response

When you make an offer on your next home, you're essentially asking that seller to bet on your property selling quickly. The stronger your positioning, the better that bet looks. I've seen this work beautifully in markets where inventory moves quickly when priced right. But here's what doesn't work: Being overpriced and hoping. If your home has been sitting on the market for 45 days with minimal showings, that doesn't inspire confidence when you make a contingent offer elsewhere.

Weakest Position: Not Yet on Market

Your property isn't listed yet, even if the photos are done, the marketing is ready, and you're "about to" put it on the market. This creates maximum uncertainty for the seller you're making an offer to. They have no idea how long it will take you to sell, what price you'll actually get, or if you'll get a buyer at all. Does this mean you shouldn't make offers? Not necessarily. But you need to be realistic about your chances and strategic about how you position yourself. Ways to strengthen this position:

• Have a concrete listing date and marketing plan ready to share
• Consider offering a longer close period or rent-back to reduce the seller's risk
• Understand that you may need to offer a higher price to compensate for the risk

Let's not sugarcoat this—if you're competing against buyers in stronger positions, you're likely not getting the house unless there's something else working in your favor (fewer competing offers, longer days on market, motivated seller with specific timing needs).

The Data on Contingent Offers

This isn't theory. Here's what we've seen across 600+ transactions: Non-contingent offers have roughly an 85% acceptance rate when competitively priced. Contingent offers with properties already in escrow run about 65-70%. Actively listed properties that are strategically priced see acceptance rates around 45-50%. Not-yet-listed contingencies? That drops to around 20-25% in competitive markets. The cancellation rate matters too. Contingent deals fall apart more often—about 28% compared to 15% for non-contingent offers. Why? Because there are more moving parts. Two transactions have to align perfectly, and that creates more opportunities for something to go wrong.

What This Means for Your Strategy

You don't need a perfect situation. You just need to understand it. If you're in the "not yet on market" category and you find your dream home, ask yourself: Is this truly the only property that will ever work for us, or are we rushing because we're excited? If it's genuinely unique and you can't risk losing it, you may need to get creative—extended close dates, rent-back agreements, or even being willing to carry two mortgages briefly if you have the financial capacity. But in most cases, the smarter move is to get your own home to market first, priced strategically, and build momentum before you start making offers elsewhere. Here's the conversation we have with clients all the time: "Let's get your home at least on the market or better yet, in escrow, before we go hunting."

The Fear of Being Homeless

I know what you're thinking: "But what if we sell and can't find something? What if we end up in an Airbnb with all our stuff in storage?" This is the number one fear we hear from sellers who need to buy next. And it's valid. But when you work with an experienced team who has done this hundreds of times, there are systems to prevent that nightmare scenario. Extended close periods. Rent-back agreements. Strategic timing with coordinated closings. Backup plan properties identified before you go under contract. The fear of homelessness is rooted in not understanding how the timing actually works. With the right planning and the right team, there's zero chance of that happening. It requires coordination, yes. But it's absolutely manageable.

How We Position Our Clients Who Are Buying and Selling

When we represent someone who's selling in Cypress and buying in Anaheim, or selling in Buena Park and buying in Los Alamitos, we're strategic from day one. We price the sale property to move—not to test the market, but to sell. We create marketing that generates immediate activity. We communicate with the buyer's agent on the next home about where we are in the process and what documentation we can provide. We've coordinated countless simultaneous transactions. We know how to position you in the strongest category possible before you make that offer on your next home.

The Bottom Line

Contingent offers aren't all created equal. There's a clear hierarchy, and sellers know it. If you're planning a move in Cypress, Anaheim, Buena Park, La Palma, or anywhere in Orange County, don't wing it. Map out your specific scenario before you start looking at properties. Understand where you fall in this hierarchy. Build a strategy to move yourself into the strongest position possible. And work with a team that's guided hundreds of families through this exact process. If you're thinking about buying and selling, reach out. We'd love to help you plan the timing and positioning before you go to market. This isn't a sales pitch—it's a strategy session. Because when you understand your position, you make better decisions.