Find the right home. Pay the right price.

The dollar number you're offering. Don't anchor to list price — anchor to comparable recent sales ("comps") your agent pulls. In a tight DMV market, well-priced homes often go for over list; in DC condos with months of supply, below list is realistic.

An optional add-on that auto-raises your offer if there are competing bids. Reads like: "I'll beat the next-highest verifiable offer by $2,000, up to a cap of $725,000." Use it when multiple offers are confirmed. Don't use it when you're the only bidder — you've just shown the seller your ceiling.

Deep dive on escalation clauses →

Cash you put up at contract signing to show you're serious — generally 1–3% of purchase price, and the more, the better in a competitive market. Held by a neutral third party (the title company or listing brokerage), never the seller. Refundable inside your contingency windows; forfeitable if you walk without one. Applied to your closing costs at settlement. See the "Money" section below for the full breakdown.

Deep dive on earnest money →

When the keys change hands. Standard in the DMV is 30–45 days from ratification. Tight timelines (21–30 days) can sweeten an offer for a seller who's already moved; longer timelines (45–60 days) work when you need rent-back or coordinating a sale.

Conditions that let you exit the contract and get your EMD back if they aren't met (financing, appraisal, inspection, HOA/condo review, etc.). Each one is a layer of protection — and each one is a lever you can modify or release to make your offer more competitive. See the next section for every common contingency.

A line in the offer asking the seller to credit you cash at closing — typically used to cover some of your closing costs or interest-rate buy-downs. Usually preferable to a lower purchase price when you're tight on cash to close (it doesn't change your loan-to-value but it shrinks the check you need to write).

What stays with the home (washer/dryer, refrigerator, curtain rods, EV charger, Ring cameras, shed) and what the seller is taking. Get this in writing — verbal promises about the chandelier don't survive closing.

The neutral company that handles escrow, title search, and closing. In Maryland the buyer typically chooses. Pick one you (or your agent) actually know — the bad ones miss documents, blow timelines, and create wire-fraud exposure.

A short note about why you love the home. Sometimes helps with an emotional seller, but has fair-housing risk (anything that reveals protected-class information can create liability). Most brokerages now discourage them. We use them sparingly and only when there's a clear, safe story.

Protects you if your mortgage falls through (denied appraisal, change in employment, undisclosed underwriting issue). Keep this one unless you're paying cash. A "fully underwritten" pre-approval is the strongest way to keep this contingency without making your offer look weak.

Pre-approval vs. pre-qualification →

Protects you if the bank's appraisal comes in below the contract price. If you have 20%+ down and reserves, you can sometimes waive or cap it. If you're putting 5% down with thin reserves, keep it — a low appraisal you can't cover would wipe out the deal.

Instead of fully waiving the appraisal contingency, you commit to cover a specific gap — "buyer will bring up to $25,000 above appraised value." Tells the seller you're protected up to a real number without giving up all protection.

The traditional version. You inspect, and you can negotiate repairs or credits, or walk away if the seller won't address findings. Strongest buyer protection. Sellers in competitive markets push back on it.

You can inspect, and you can walk if you find something serious, but you waive the right to ask for repairs or credits for normal maintenance. This is the common middle ground for competitive offers — you keep the exit door, the seller doesn't get nickel-and-dimed.

Which contingencies to keep →

Radon is a colorless gas that's elevated in many Maryland and Virginia basements. A test runs ~$150; mitigation systems run $800–$1,500 and work well. >4 pCi/L typically triggers a remediation request. Worth keeping on almost any home with a basement.

A licensed inspector checks for active termites and prior damage. FHA and VA loans require a clean WDI report; conventional loans don't, but you should still get one. Treatment is usually a few hundred dollars and the seller often covers it.

In Maryland, you have a statutory window after receiving the HOA/condo resale package to review and exit if you don't like what you see — typically 5 days for HOAs and 7 days for condos. Read the financials, special-assessment history, and reserve study. A pending $30K assessment is a deal-killer you only find here. DC and Virginia have their own statutory periods — your agent will track the exact deadline by jurisdiction.

Makes your purchase contingent on selling your current home first. In a tight DMV market, sellers usually reject this — too much timing risk. Better paths: sell first then buy with rent-back, use bridge financing, or shop in segments where sellers have flexibility.

Required on homes built before 1978. The seller delivers EPA-mandated lead disclosures and you get a 10-day window to test (you can waive it). Not a contingency you negotiate — it's federal law.

Verifies the property's boundaries and any encroachments. Often waived on resale homes in established neighborhoods; usually kept on new construction or rural/large-lot properties where boundaries matter.

If the property isn't on public water/sewer, you'll want a well water quality and flow test plus a septic system inspection. Common in Potomac estates, parts of upper Montgomery County, and rural Loudoun.

Generally 1–3% of the purchase price — and the more, the better in a competitive market. Due within 1–3 business days of contract acceptance. Held by the title company (or listing brokerage), never the seller. Refundable if you exit within a contingency period; forfeitable if you walk without one. Applied to your closing costs at settlement, so it's not extra money — it's a deposit you'll see credited back on the settlement statement.

Deep dive on EMD →

The chunk of the purchase price you're paying in cash, not financing. Common levels: 0% (VA loans, USDA), 3% (conventional first-time programs), 3.5% (FHA), 5%, 10%, 20%+. Below 20% conventional means you pay PMI (private mortgage insurance) until you reach 20% equity. FHA has its own MIP. Maryland Mortgage Program (MMP) and HOC can stack down-payment assistance on top.

MD first-time buyer programs (MMP + HOC) →

Typically 2–4% of the purchase price on the buyer side. Includes lender fees (origination, underwriting, points), title insurance (lender's policy required, owner's policy optional but recommended), transfer & recordation taxes, prepaid escrows (first months of property taxes and the first year of homeowner's insurance), and inspection/appraisal fees. Transfer taxes are highest in DC, then Maryland, then Virginia.

The actual number you wire on closing day. Math: down payment + closing costs − EMD already paid − seller concessions. The lender sends you a Closing Disclosure 3 business days before settlement with this exact figure.

EMD at 2% = $12,000 (paid early, applied at closing). Down payment = $60,000. Closing costs at ~3% = $18,000. Seller credit = $0 in this example. Cash to close = $60,000 + $18,000 − $12,000 = $66,000 wired on closing day. Total out-of-pocket from offer to keys: ~$78,000.

How much home can you afford? →

A contract where the seller will make no repairs. You can still inspect; you just can't ask for repair credits. Often paired with an inspection contingency that lets you walk but not renegotiate.

A formal offer that activates only if the first contract falls through. Costs the seller nothing and locks you into the next-up position.

Required under the 2024 NAR settlement before your agent can show you homes. Spells out the agent's compensation, term, and scope — and which jurisdictions you can search in together.

The maximum price your escalation clause will reach. Above the cap, the clause stops escalating; the contract falls back to your original offer price.

The federal 5-page form your lender sends 3 business days before settlement with the final numbers. Compare it to your Loan Estimate — surprise charges show up here.

Conventional (Fannie/Freddie, 3%+ down). FHA (3.5% down, more flexible credit). VA (0% down, veterans). USDA (0% down, rural areas). MMP (Maryland Mortgage Program — DPA layered on top of conventional/FHA/VA).

How long the listing has been active. Low DOM = competitive seller's market; high DOM = leverage shifts toward the buyer.

Cash or low-interest second loans to help cover the down payment. MMP, HOC, and lender-specific programs all qualify. Stackable, with strict income/price limits.

A neutral account holding money or documents until a condition is met. Four common flavors: EMD escrow (your deposit pre-closing), closing escrow (funds during settlement), escrow holdback (money held after closing for a specific repair), and lender escrow (the monthly account that pays your taxes and insurance).

Full escrow explainer →

The seller's request that all interested buyers submit their strongest offer by a deadline. Translation: there are multiple offers and the seller wants to pick a winner cleanly.

How many months it would take to sell all current listings at the current sales pace. 4–6 months is balanced; under 3 is a seller's market; over 6 is a buyer's market.

Principal, Interest, Taxes, Insurance — the four parts of your monthly mortgage payment. When your lender talks affordability, this is the number that matters, not just principal + interest.

PMI = Private Mortgage Insurance on conventional loans below 20% down (drops off automatically at 78% LTV). MIP = Mortgage Insurance Premium on FHA loans (often stays for the life of the loan unless you refinance to conventional).

Pre-qualification is a soft estimate. Pre-approval is a lender's written commitment based on verified income, assets, and credit. Sellers take pre-approval seriously and ignore pre-qualification.

Full pre-approval breakdown →

The moment both parties have signed the contract with all terms agreed. The clock on every deadline (inspection, financing, settlement) starts here.

Closing day. You sign 40+ pages, wire the cash to close, and walk out with keys. Typically 30–45 days after ratification in the DMV.

Lender's policy is required and protects the bank against title defects. Owner's policy is optional, costs ~0.5% of purchase price, and protects you for as long as you own the home. Almost always worth buying.

Your right to re-inspect the home within 24–48 hours of closing to confirm it's in the agreed-upon condition (no new damage, agreed repairs done, included items still there). Skip it and you give up that protection.

Standard contract: the GCAAR Regional Sales Contract for the DC suburbs. EMD norm 1–3%, held by title company. Inspection contingencies come in two flavors (As-Is or With Remedy) and you can mix them. HOA review window: 5 days; condo review window: 7 days — both run from the date you receive the resale package. Buyer typically chooses the title company. Transfer & recordation taxes are typically split between buyer and seller (Montgomery County rates differ from other MD counties).

Standard contract: also the GCAAR Regional Sales Contract. EMD norms similar to Maryland. Condo and co-op document review is a big deal — DC has a heavy condo inventory, and pending special assessments, reserve shortfalls, and pending litigation all surface in the docs. DC's recordation and transfer taxes are higher than Maryland's, so closing costs run noticeably more on the same price. Sellers customarily pay the deed transfer tax; buyers pay the recordation tax. Buyer-side leverage is currently strongest here (DC has the highest months-of-supply in the DMV).

Standard contract: the NVAR Regional Sales Contract — similar in spirit, different in form to the GCAAR. EMD norms 1–3%. Inspection contingencies are commonly written as Property Inspection Contingencies with multiple election options. HOA and POA document review periods are statutory and run a few business days from delivery — your agent tracks the exact deadline. Transfer/recordation taxes are typically lower in VA than DC or MD. Fairfax County and Loudoun County both have their own quirks (proffer fees on new construction, school-pyramid pricing premiums).