Contracts

A Mississippi buyer's offer includes a home inspection contingency with a 10-day inspection period. On day 8, the buyer's inspector finds a significant foundation issue. The buyer must:

AAutomatically receive a full refund of earnest money
BWithin the contingency period, either notify the seller in writing requesting repairs or credit, or terminate the contract and receive the earnest money refund✓ Correct
CProceed with the purchase regardless of the inspection findings
DExtend the inspection period automatically

Explanation

Within the inspection contingency period, the buyer must take action — either request repairs/credits from the seller or exercise the right to terminate and recover earnest money. Failure to act within the contingency period typically waives the contingency.

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