Subject to sale condition explained

What is a subject to sale condition?

A subject to sale condition means your offer to buy a property depends on selling your existing home first. It gives you time to sell without risking two mortgages or missing out on your next move.

When would you use it?

• You’ve found a home you want to buy
• Your current property isn’t sold yet
• You want to secure the new home without overcommitting financially

How it works

1. You make an offer on a property
2. The contract includes a subject to sale clause
3. You’re given a set timeframe to sell your current home
4. If you sell within that time, the contract goes ahead
5. If not, the contract may be terminated (or extended, if agreed)
   
   

What’s a sunset clause?

In subject to sale contracts, a sunset clause gives the seller the right to keep marketing the property - even after signing a contract with you. If they receive another offer, they can notify you, and you’ll have a short window (usually 48 or 72 hours) to make your contract unconditional.

That means removing the subject to sale condition and committing to the purchase - whether your current home is sold or not. If you can’t, the seller can walk away and accept the new offer.

It’s a fair way to protect both sides: you get a shot at securing your next home, and the seller isn’t stuck waiting indefinitely.