Financing Contingency in Florida: What Buyers Need to Know Before Making an Offer

Financing Contingency in Florida: What Buyers Need to Know Before Making an Offer

If you’re buying a home in Orlando and planning to use a mortgage (like most buyers do), there’s one part of the contract you really need to understand: the financing contingency.

It’s not the most glamorous part of the process—but it could be the difference between keeping your deposit or losing thousands. Let’s break it down in normal-people language, so you can feel confident when it’s time to make your offer.

💸 What Is the Financing Contingency?

The financing contingency is a section in the Florida real estate contract that gives you, the buyer, a set amount of time to:

✅ Apply for a loan
✅ Get approved by your lender
✅ Make sure the home qualifies for financing (hello, appraisal!)

If for some reason you can’t secure financing during that window, the contingency allows you to cancel the contract and get your deposit back—as long as you followed the terms.

In short? It protects you from being stuck in a contract if your financing falls through.

⏳ How Long Do You Get?

The standard financing contingency in Florida is usually 30 days (but it can be negotiated shorter or longer based on the market and your situation).

That means you have 30 days to go from "offer accepted" to "clear loan approval."

Heads up: You still have to apply for the loan (get preapproved) before going see homes and under contract so that your offer will be taken seriously.

🏡 What About the Appraisal?

This is where it gets real: for your loan to be approved, the home usually needs to appraise at or above the purchase price.

If the appraisal comes in low, you’ve got a few choices:

• Renegotiate with the seller

• Pay the difference out of pocket

• Walk away (if you’re within your contingency period)

Your financing contingency protects you here, too—because if the loan gets denied due to appraisal, you’re still covered.

🛑 When the Contingency Expires

Once your financing contingency expires (typically on Day 30), your deposit is officially at risk if something goes sideways with your loan. That’s why I stay on top of every deadline and make sure we’re not flying blind.

🤝 How I Help You Navigate It

If you’re like most buyers, this part of the process feels a little…tense. And I get it—financing is a big deal.

Here’s how I make it easier:

• I connect you with lenders who are local and responsive

• I track all dates and documents, so nothing slips through the cracks

• I keep communication flowing between you, the lender, and the seller’s agent

• If something changes mid-process (job shift, credit update, etc.), I help you pivot fast

🧠 Final Thoughts

The financing contingency isn’t just legal language—it’s your safety net. It allows you to make strong offers without putting your hard-earned money on the line too early.

So if you’re ready to start the buying process but nervous about the money part, let’s talk. I’ll help you understand what to expect, how to prep, and what questions to ask your lender from day one.

📩 Reach out and I’ll send you my Financing Prep Checklist—a simple breakdown of what to have ready so you can move fast when the right home pops up.