Is a contingent sale subject to failure?

Yes, a contingent sale may certainly not working out. Real Estate contingent transactions can be subject to contingency upon the approval of the financing, the appraisal value, or home inspection outcome. The contract may be terminated in case the buyer is unable to obtain a loan, the value of the appraisal is lower than expected or the contract uncovers significant problems during examination. The property can re-enter the market in these situations.