Subscribe to Guide
No Result
View All Result
Hamptons.com
  • Spotlight Magazine
  • Lifestyle
    • Featured
    • Entertainment
    • Arts
    • Community
    • Dining
    • Recreation
    • Trending
  • Events
    • Events Calendar
    • Post an Event
    • Gallery
  • Real Estate
    • Real Estate Features
    • Search Real Estate
      • Open Houses
      • Search Sales
      • Search Rentals
    • Title Insurance
    • Happening In The Hamptons Podcast
  • Live Cameras
    • All Live Cameras
    • Live Weather Cams
    • Amagansett, Atlantic Avenue Beach
    • Bridgehampton, West Scott Cameron Beach
    • East Hampton Village, Main Beach
    • East Hampton Village, Main Street
    • East Hampton Village, Newtown Lane
    • Hampton Bays, Ponquogue Beach
    • Hampton Bays, Ponquogue Bridge
    • Hampton Bays, Shinnecock Fishing Dock
    • Hampton Bays, Tiana Beach
    • Long Island Aquarium | Coral Reef
    • Long Island Aquarium | Penguins
    • Long Island Aquarium | Shark Tank
    • Montauk, Downtown Circle
    • Montauk, Lars Simenson Skatepark
    • Montauk, Gin Beach & Inlet
    • Montauk, Sunset Beach & Inlet
    • Sagaponack, Sagg Main Beach
    • Sag Harbor, Foster Memorial Beach
    • Sag Harbor, Long Wharf Marina
    • Sag Harbor, Main Street (South)
    • Sag Harbor, Windmill Beach & Bay
    • Shelter Island, South Ferry
    • Southampton, 39A to Montauk Hwy Merge
    • Southampton, Conscience Point Marina
    • Southampton Village, Coopers Beach
    • Southampton Village, Main Street (South)
    • Southampton Village, Main Street (North)
    • Southampton Village, Main Street (Hildreths)
    • Westhampton Village, Main Street (East)
    • Westhampton Village, Rogers Beach
  • Public WiFi
    • Public WiFi Map
    • Public Wi-Fi Support
  • Spotlight Magazine
  • Lifestyle
    • Featured
    • Entertainment
    • Arts
    • Community
    • Dining
    • Recreation
    • Trending
  • Events
    • Events Calendar
    • Post an Event
    • Gallery
  • Real Estate
    • Real Estate Features
    • Search Real Estate
      • Open Houses
      • Search Sales
      • Search Rentals
    • Title Insurance
    • Happening In The Hamptons Podcast
  • Live Cameras
    • All Live Cameras
    • Live Weather Cams
    • Amagansett, Atlantic Avenue Beach
    • Bridgehampton, West Scott Cameron Beach
    • East Hampton Village, Main Beach
    • East Hampton Village, Main Street
    • East Hampton Village, Newtown Lane
    • Hampton Bays, Ponquogue Beach
    • Hampton Bays, Ponquogue Bridge
    • Hampton Bays, Shinnecock Fishing Dock
    • Hampton Bays, Tiana Beach
    • Long Island Aquarium | Coral Reef
    • Long Island Aquarium | Penguins
    • Long Island Aquarium | Shark Tank
    • Montauk, Downtown Circle
    • Montauk, Lars Simenson Skatepark
    • Montauk, Gin Beach & Inlet
    • Montauk, Sunset Beach & Inlet
    • Sagaponack, Sagg Main Beach
    • Sag Harbor, Foster Memorial Beach
    • Sag Harbor, Long Wharf Marina
    • Sag Harbor, Main Street (South)
    • Sag Harbor, Windmill Beach & Bay
    • Shelter Island, South Ferry
    • Southampton, 39A to Montauk Hwy Merge
    • Southampton, Conscience Point Marina
    • Southampton Village, Coopers Beach
    • Southampton Village, Main Street (South)
    • Southampton Village, Main Street (North)
    • Southampton Village, Main Street (Hildreths)
    • Westhampton Village, Main Street (East)
    • Westhampton Village, Rogers Beach
  • Public WiFi
    • Public WiFi Map
    • Public Wi-Fi Support
No Result
View All Result
Hamptons.com
July 1, 2013

Mortgage Contingencies: Do They Help Or Hinder A Hamptons Sale?

John A. Viterittiby John A. Viteritti
in Real Estate
Home Real Estate

Mortgage contingencies, intended to protect the buyer in the event that they do not get the loan necessary to purchase the property, were of less importance in the days of easy credit, rising home prices, and permissive qualifying standards. Today, they play a significant role in the Hamptons when buying and selling a home.

In order for a real estate agent to be entitled to a commission, the agent must produce a ready, willing and able buyer prepared to meet all of the terms of the seller. An issue that can be problematic is when the obligation to purchase is contingent upon the ability to get a mortgage subject to an appraisal.
While today’s interest rates are relatively low, lenders are looking for borrowers with larger down payments and are more conservative in their appraisals than before the real estate market crash.

To get a fix on how mortgage contingencies are affecting the market, I spoke with several Hamptons real estate agents to get their thoughts on the topic.

Sandy Morell, Associate Broker at The Corcoran Group in Sag Harbor explained that, “Most of my deals are cash. It’s always sad when a mortgage contingent customer loses out to a cash buyer, even though the mortgage offer is higher. I had a case where was no mortgage contingency but was subject to an appraisal at the sale price. Luckily it appraised.”

“Banks say they will lend 90% LTV, (loan to value ratio), but in reality, they want higher down-payments,” says Htun Han, Owner/ Broker at Hamptons Realty Group in Amagansett. “They still do second appraisals, but less frequently than in the past few months, before they will give a final commitment. Applicants have to be squeaky clean – credit, employment, income, source of down payment. I just lost a deal a week ahead of the closing because the borrower got laid off, found a higher-paying job, but couldn’t show many months of pay stubs. The commitment was yanked. Banks have put up so many hurdles, the impetus for our market rebounding is not there.”

Finally, Elliott Epstein, Associate Broker at Brown Harris Stevens Southampton, weighted in, “I think mortgage contingency offers are not 100% credible unless accompanied by a pre-approval letter. With that being said, if the property doesn’t appraise, then the letter doesn’t mean anything. It will be increasingly burdensome in an upward market as we are in now rather than the reverse. Appraisers do not want to be called out for over appraising as was the practice early last decade.”

Buying and selling a home, in the Hamptons especially, is about more than the price a seller wants and the buyer is willing to pay. All the stars must be aligned in order to make it happen. Often times, the real estate agent is called upon to be the arranger of the stars.

Sign up for our weekly newsletter!

Get the top Hamptons events and latest scoop!

What's Happening in the Hamptons

Related Posts

The Oakley-Leicht Team: Experience, Teamwork, and a Full-Service Approach
Real Estate

The Oakley-Leicht Team: Experience, Teamwork, and a Full-Service Approach

June 27, 2025
South of the Highway Bridgehampton Estate
Real Estate

South of the Highway Bridgehampton Estate

June 26, 2025
Happening in the Hamptons Podcast: The Premiere Film and Unique Real Estate Marketing
Real Estate

Happening in the Hamptons Podcast: The Premiere Film and Unique Real Estate Marketing

June 27, 2025

Search Articles

No Result
View All Result

LOCAL EVENTS

Events

29
Jun
29
Jun
-
29
Jun

HAMPTON VINTAGE – A Luxury Marketplace

June 29 @ 10:00 AM - June 29 @ 05:00 PM
Westhampton Beach Village Green, 9-1 Beach Rd, Westhampton Beach, NY
29
Jun
29
Jun
-
29
Jun

The Mom Club x Calissa: Let’s Talk Sleep with Heather Cartier on 6/29

June 29 @ 12:00 PM - June 29 @ 01:00 PM
Calissa 1020 Montauk Highway
29
Jun
29
Jun
-
29
Jun

Pulling it All Together: ERIC FISCHL & AMY SILLMAN in conversation, with JORDAN CARTER – in collaboration with Dia Bridgehampton

June 29 @ 03:30 PM - June 29 @ 05:00 PM
The Church, 48 Madison St., Sag Harbor, NY, 11963
29
Jun
29
Jun
-
29
Jun

LongHouse Talks: Michèle Gerber Klein

June 29 @ 04:30 PM - June 29 @ 05:30 PM
LongHouse Reserve, 133 Hands Creek Road, East Hampton, NY, 11937
29
Jun
29
Jun
-
29
Jun

Live Music at The Clubhouse: Rebel Elle

June 29 @ 06:00 PM - June 29 @ 09:00 PM
The Clubhouse 174 Daniels Hole Road East Hampton, NY, 11937
Load more listings
Next Post
Eight Products To Show Off Your Patriotism This Fourth Of July

Eight Products To Show Off Your Patriotism This Fourth Of July

    Facebook Twitter Instagram Youtube
    Hamptons.com

    Saunders Broadcasting Corp.

    Phone: 631-613-8440
    Email: [email protected]
    Facebook: Facebook.com/HamptonsOnline
    Twitter: @Hamptons
    Instagram: @HamptonsOnline

    About Us | Contact Us

    Hamptons.com

    • Lifestyle
    • Events
    • Real Estate
    • Live Cameras
    • Public WiFi

    Subscribe

    Sign up for our weekly newsletter!

    Get the top Hamptons events and latest scoop!

    © 2025 Hamptons.com | All rights reserved
    Saunders Broadcasting Corp.
    Terms & Conditions | Privacy Policy | About Us | Contact Us

    No Result
    View All Result
    • Spotlight Magazine
    • Lifestyle
      • Featured
      • Entertainment
      • Arts
      • Community
      • Dining
      • Recreation
      • Trending
    • Events
      • Events Calendar
      • Post an Event
      • Gallery
    • Real Estate
      • Real Estate Features
      • Search Real Estate
        • Open Houses
        • Search Sales
        • Search Rentals
      • Title Insurance
      • Happening In The Hamptons Podcast
    • Live Cameras
      • All Live Cameras
      • Live Weather Cams
      • Amagansett, Atlantic Avenue Beach
      • Bridgehampton, West Scott Cameron Beach
      • East Hampton Village, Main Beach
      • East Hampton Village, Main Street
      • East Hampton Village, Newtown Lane
      • Hampton Bays, Ponquogue Beach
      • Hampton Bays, Ponquogue Bridge
      • Hampton Bays, Shinnecock Fishing Dock
      • Hampton Bays, Tiana Beach
      • Long Island Aquarium | Coral Reef
      • Long Island Aquarium | Penguins
      • Long Island Aquarium | Shark Tank
      • Montauk, Downtown Circle
      • Montauk, Lars Simenson Skatepark
      • Montauk, Gin Beach & Inlet
      • Montauk, Sunset Beach & Inlet
      • Sagaponack, Sagg Main Beach
      • Sag Harbor, Foster Memorial Beach
      • Sag Harbor, Long Wharf Marina
      • Sag Harbor, Main Street (South)
      • Sag Harbor, Windmill Beach & Bay
      • Shelter Island, South Ferry
      • Southampton, 39A to Montauk Hwy Merge
      • Southampton, Conscience Point Marina
      • Southampton Village, Coopers Beach
      • Southampton Village, Main Street (South)
      • Southampton Village, Main Street (North)
      • Southampton Village, Main Street (Hildreths)
      • Westhampton Village, Main Street (East)
      • Westhampton Village, Rogers Beach
    • Public WiFi
      • Public WiFi Map
      • Public Wi-Fi Support

    © 2025 Hamptons.com | All rights reserved
    Saunders Broadcasting Corp.
    Terms & Conditions | Privacy Policy | About Us | Contact Us