Short Answer
A backup offer is an offer made on a home that is already under contract. It becomes active only if the primary contract falls through. Accepting a backup offer gives you security if the first deal does not close. It is generally a good idea to accept backup offers because they provide a safety net and can strengthen your negotiating position if the primary buyer requests concessions. You can continue marketing the home as contingent or accepting backup offers.
A backup offer is a contract that takes effect if the primary contract is terminated for any reason. The backup buyer agrees to wait and purchase the home if the first deal falls through. Accepting a backup offer is almost always a good idea. It provides a safety net. If the first buyer backs out, you have another buyer ready to go. It strengthens your negotiating position. If the primary buyer requests repairs or concessions, you can evaluate their request knowing you have a backup offer. It keeps the transaction moving. If the primary deal falls through, you do not have to start over from scratch. The backup offer can be at the same price, a different price, or with different terms. You can negotiate the backup offer independently of the primary contract. If you accept a backup offer, you must disclose it to the primary buyer. The primary buyer has the right to complete their purchase according to the original contract terms. Your agent will help you manage the process and ensure all parties are informed.
Bob's Advice
Redfin Senior Agent · AI Certified Agent
I always recommend accepting backup offers. They are free insurance. If the first deal goes through, the backup offer expires. If the first deal falls through, you have a buyer ready to go. I have seen backup offers save sellers from having to relist their home and start over. Let us make sure you are protected. If you receive an offer while under contract, I will help you evaluate it and decide whether to accept it as a backup.
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