Conditional Sale

Definition

  • When a property for sale becomes conditionally sold (C/S), this implies that the sellers have accepted an offer from a buyer conditional upon the seller and/or buyer being able to fulfill certain set out conditions. These conditions could include the buyer being able to obtain a satisfactory home inspection report, secured financing or the sale of a buyer's property. Commercial properties may have additional conditions. When a property is conditionally sold, the sellers cannot accept other offers.

Synonyms
agreement, requirement, condition of sale, obligation, stipulation

Acronyms
C/S

Related Terms and Acronyms

  • Conditional Commitment Definition,
    • A promise by a lender to make a loan if the borrower meets certain requirements.
  • Conditional Sales Floater Definition,
    • Insurance that covers losses on property sold conditionally or on an instalment plan.
  • Contingency Definition,
    • A condition that must be met before a property sale can be completed, such as a home inspection or mortgage approval.
  • Due-on-sale Clause Definition,
    • A condition of a mortgage that states that the loan must be paid when the house is sold. Commonly used in reverse mortgage lending.
  • Escrow Definition,
    • An account in which money for property taxes and insurance is held until paid. Money is added to the account every time a mortgage payment is made.
  • Housing-equity Partnership Definition,
    • An arrangement in which one buyer lives in a home and the other has an ownership stake as an investment. The partners split the capital gain after the property is sold.
  • Sale-leaseback Definition,
    • A transaction in which the seller transfers the title to the buyer, then rents the property from the new owner. Generally not done in Canada, more an American practice.
  • Sales Contract Definition,
    • A legal written document that details the agreed upon conditions between a seller and a buyer regarding the sale of a specific property. Also called an "Agreement of Sale."
Compare. Calculate. Apply today.
Compare Mortgage RatesMortgage CalculatorsApply for a Mortgage