Inspection Contingency Addendum

Inspection Contingency Addendum

Last updated May 2nd, 2023

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An inspection contingency addendum is added to a real estate purchase contract to give prospective buyers the right to inspect the property before closing. Otherwise known as a “due diligence contingency,” the document will state who will pay for the inspection, when the inspection deadline is, and when evidence of material defects must be delivered to the seller. The addendum grants the buyer the right to withdraw from the purchase agreement without penalty if the parties cannot agree to waive, adjust, or negotiate any issues found during the inspection.

Related Forms (1)

Inspection Contingency Removal Addendum – If an inspection finds issues with the property, this form may be used to inform the seller what steps must be taken for the buyer to remove the inspection contingency addendum from the purchase agreement.

Download: PDFWord (.docx)OpenDocument


Download: PDFWord (.docx)OpenDocument


1. THE PARTIES. This Inspection Contingency Addendum (“Addendum”) made this [MM/DD/YYYY] (“Effective Date”) is by and between:

Seller: [SELLER’S NAME] (“Seller”) and

Buyer: [BUYER’S NAME] (“Buyer”).

The Seller and Buyer are each referred to herein as a “Party” and, collectively, as the “Parties.”

2. ORIGINAL AGREEMENT. This Addendum is being added to the purchase agreement between the Parties, dated [MM/DD/YYYY], for the property located at [PROPERTY ADDRESS] (“Original Agreement”).

3. INSPECTION. The Agreement is contingent upon an inspection to be conducted by the Buyer and any third (3rd) party of their choice. Inspection shall be to determine the condition and performance relative to the intended function of the following items:


Inspectors shall be required to possess all necessary qualifications and licenses in order to legally practice their professional designation. Buyer shall satisfy Seller as to the qualifications of the inspector as needed. Any inspection shall be at the cost of the:

– Buyer – Seller – 50% Buyer, 50% Seller

Seller agrees to make the Property reasonably available for an inspection, and any tests done by the FHA, VA, or other government entity shall be done and paid for in accordance with the applicable regulations and are not part of this Addendum.

All inspections must be completed by [MM/DD/YYYY], and any defects or repairs found shall be reported to the Seller by [MM/DD/YYYY].

If any objection presented is not waived, adjusted, or negotiated between the Buyer and Seller by [MM/DD/YYYY], the Buyer shall be refunded, in full, their earnest money deposit, and both parties shall be released from further liability to one another.

4. CONTINUE SELLING. Shall Shall Not have the right to continue selling the Property during the period of this Addendum.

5. EXECUTION. This Addendum may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

Seller Signature: ___________________________ Date: [MM/DD/YYYY]

Print Name: [SELLER NAME]

Buyer Signature: ___________________________ Date: [MM/DD/YYYY]

Print Name: [BUYER NAME]