Contingencies in a California Purchase Contract: Inspection, Appraisal and Loan
Figures and rules in this post are as of November 6, 2026, from the sources linked below. Check the source for any later update.
Most residential purchases in California use the C.A.R. Residential Purchase Agreement. It gives the buyer contingencies, which are conditions the buyer can use to cancel within a set time. Unless the parties write in different numbers, the form’s default for the main contingencies is 17 days after acceptance.
The main contingencies
- Investigation: time for home, roof, sewer, pest and other inspections, and to review disclosures and reports.
- Appraisal: protects the buyer if the property appraises below the purchase price.
- Loan: protects the buyer if financing is not approved.
- Other: review of the preliminary title report, HOA documents and other reports.
Removing contingencies
Buyers remove contingencies in writing. After a contingency is removed, cancelling for that reason may put the deposit at risk under the contract’s terms. A shorter contingency period can make an offer more attractive to a seller but leaves the buyer less time to investigate. The right balance depends on the specific property and situation.
Sources
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Lianna Danielyan, REALTOR® · Equity Union · CA DRE #02142653 · 13400 Ventura Blvd, Sherman Oaks, CA 91423 · (818) 669-6245
Listing information is provided through Equity Union’s IDX/BoldTrail service, is deemed reliable but not guaranteed, and should be independently verified. Information on this page is general and is not legal, tax or financial advice. Equal Housing Opportunity.