Buying Your Next North Texas Home With a Sale Contingency (…or a Bridge Loan): What to Know in 2025 🏡🔁

Why This Matters

If you’re eyeing a home in Frisco, McKinney, Allen, Plano or northern Collin County — and you’ve got to sell your current place first — this guide is your roadmap.

We’re laying out what a sale contingency is, how it works under Texas rules, how long homes are taking to sell in this region, and whether a bridge loan might be the smarter route.

What Is a “Sale-of-Home Contingency”?

Simply put: your offer to buy a new home is conditional on you selling your current property. If you don’t sell within the agreed timeframe, you usually have the right to walk away without penalty — and the seller moves on.

In Texas, buyers often attach the Addendum for Sale of Other Property by Buyer (TREC Form 10-6) to the contract. TREC+1

On MLS listings, you’ll sometimes see this labelled as “Active Kick Out (KO)” — meaning the seller is marketing the home while your contingency is in effect.

How a Sale Contingency Works in North Texas

• Offer + Addendum: Your offer includes the contingency and a deadline by which your current home must sell.

• Status = Active KO: Even with your contingency, many sellers continue to show the property and may accept back-ups. MetroTex

• Kick-Out Window: If another qualified buyer steps in, the seller can activate the kick-out clause — giving you typically 24-72 hours to either remove your contingency (i.e., secure financing without selling) or step aside.

How Long Does It Take to Sell a Home Now?

In Collin County and surrounding markets, timelines are evolving:

• For example: Median days on market in Collin County was ~63 days as of September 2025. FRED+1
• A listing summary showed the median listing home price at ≈ $519K with ~60 days on market. Realtor

These figures matter: the quicker your home sells, the stronger your position if you’re using a contingency.

How Repairs, Upgrades, Staging & Curb Appeal Speed Things Up

Staging and presentation matter: Homes that show well often move faster.

Curb appeal adds value: Exterior enhancements may add roughly 5-8% value and attract more buyers.

Action plan:

• Declutter and stage core rooms (living, kitchen, primary bedroom)
• Tackle high-impact fixes: paint, lighting, hardware
• Spruce the exterior: fresh mulch, trimmed shrubs, clean siding/driveway
• Use pro photos, video tours and a floor plan to broaden reach

Do You Lose Leverage with a Contingent Offer?

Yes — a contingent offer adds risk for the seller, and that can affect your negotiating leverage:

• The seller may favour a non-contingent buyer
• Price or repairs may become tougher negotiations
• Your kick-out exposure increases if another buyer appears

How to counteract it:

• Offer stronger earnest money
• Keep your contingency period short
• Ensure your current home is show-ready and pre-marketed

Bridge Loan: An Alternative Path

A bridge loan is a short-term financing mechanism that uses your current home’s equity so you can buy the new one before you sell.

Pros: You can make a cleaner offer without a contingency.
Cons: Higher fees/rates, you’re carrying two loans temporarily, stricter qualification needed.

Pros & Cons: Contingency vs. Non-Contingent

Pros of Sale Contingency:

• You won’t end up owning two homes at once
• You can use proceeds from the sale for the new home
• You avoid draining reserves or taking interim financing

Cons:

• Less competitive vs. non-contingent buyers
• Risk of being kicked out if a stronger offer arrives
• More moving parts: your sale, financing and pricing all need to align

North Collin County Snapshot: Growth Means Opportunity

Collin County remains one of America’s fastest-growing counties — and that fuels both contingency and non-contingent strategies.

While homes may be staying on market a bit longer, jobs, population growth and infrastructure investments keep buyer pipelines healthy across Frisco, McKinney, Plano and Allen.

Which Path Should You Take? My Rule of Thumb

Choose a sale contingency if your equity is locked in your current home, your home should reasonably sell within local DOM, and you’re comfortable with some trade-offs.

Consider a bridge loan if you must compete in hot zones, your current home needs repairs or staging, or you want clean offer terms without the contingency risk.

Ready to Map Your Path?

At Cindy Coggins Realty Group, we specialize in helping North Texas buyers craft strategic offers — whether they involve contingencies or bridge loans.
📞 Call or text us at 469-499-7452 for tailored guidance on structuring your next move.

 Sources:

1. Texas Real Estate Commission. Addendum for Sale of Other Property by Buyer (Form 10-6). Retrieved October 2025, from https://www.trec.texas.gov/forms/addendum-sale-other-property-buyer TREC
2. “What Happens When a Sale Is Contingent on Selling Another Property?” (MetroTex). Retrieved October 2025, from https://www.mymetrotex.com/what-happens-when-a-sale-is-contingent-on-selling-another-property/ MetroTex
3. Federal Reserve Bank of St. Louis (FRED). “Market Hotness: Median Days on Market in Collin County, TX [MEDDAYONMAR48085].” Retrieved October 2025, from https://fred.stlouisfed.org/series/MEDDAYONMAR48085 FRED+1
4. Zillow. “Collin County, TX Housing Market: 2025 Home Values & Trends.” Retrieved October 2025, from https://www.zillow.com/home-values/951/collin-county-tx/ Zillow