When a $50,000 Plowing Budget Isn't Enough: What Brie Stephens Learned From a Deal That Fell Apart

KEY TAKEAWAYS

• Home sale contingencies carry significant risk for sellers, even with substantial deposits and extended timelines

• Kick-out clauses protect sellers by allowing them to accept backup offers while maintaining their current contract

• Agents should research the buyer's market conditions before advising sellers to accept contingent offers

THE DEAL THAT LOOKED PROTECTED

When Brie Stephens leads Lake Life Realty at Compass, the top-performing lakefront real estate team in New Hampshire's Lakes Region, she encounters plenty of high-stakes negotiations. But one particular Meredith property taught her a lesson that now shapes how she protects every seller.

The property was a high-end view home in Moultonborough. The contract looked solid on paper. The buyers offered an excellent price. They put down an unrefundable $50,000 deposit specifically to cover winter maintenance, the extensive driveway plowing and shoveling that Lakes Region properties demand when contracts extend into snowy months. Her sellers, attracted by the strong offer, agreed to wait while the buyers sold their property in Delaware or Maryland.

"We protected them as much as we thought we were at the time," Brie reflects. But looking back, the warning signs were there from the start.

THE FLAGS THEY MISSED

The buyers were particular. Very particular. Their inspection questions went beyond standard due diligence. The nature of their concerns, the way they approached every detail, suggested buyers who might struggle to close under pressure.

Brie did her homework. She connected with the listing agent in Delaware to verify market conditions. Was the buyers' property priced realistically? What were typical days on market? The answers were reassuring. Hot market. Good pricing. The home should move quickly.

Her sellers, weighing the risk against the attractive contract price, decided to move forward. They extended the timeline through winter. The $50,000 deposit covered the ongoing costs. Everything seemed managed.

Then the buyers' property sat. And sat. Eventually, they backed out entirely, selling with a different agent. The deal collapsed.

THE ONE PROTECTION THEY DIDN'T HAVE

"One thing we would have changed, which we do on almost every single contract moving forward, is a kick-out clause," Brie says now.

A kick-out clause would have changed everything. If another buyer had come forward with a non-contingent offer, the original buyers would have faced a choice: waive your home sale contingency within a specified timeframe, or we move to the backup contract.

Without that clause, Brie's sellers were locked in. No matter how many other interested buyers appeared, they couldn't pivot. They had to wait while the buyers' property languished in another state.

Lake Life Realty specializes in luxury waterfront properties on Lake Winnipesaukee and throughout the NH Lakes Region, where seasonal timing matters enormously. As fall turned to winter, showing opportunities dwindled. The extended timeline, meant to protect the sellers, actually trapped them in a deal that was slowly dying.

WHAT CHANGED IN EVERY CONTRACT SINCE

Brie Stephens was named to NAR's 30 Under 30 and has closed over $128 million in lakefront property sales, but she still considers this failed deal one of her most valuable learning experiences.

Now, every home sale contingency comes with a conversation about kick-out clauses. She lays out the protection it offers. She explains how it works. Then she lets sellers make their final determination.

But she goes further. Before advising a seller to accept any contingent offer, she researches the buyer's market personally. She connects with the listing agent. She verifies the pricing strategy. She checks comparable sales and current days on market. She needs realistic data about whether that contingent sale will actually close in the proposed timeframe.

"At a minimum, the agent should always be connecting with the agent and researching the market on where that home sale contingency is taking place," Brie emphasizes. "To know realistically if that's even going to go and if they're pricing it right."

PROTECTING SELLERS IN A SEASONAL MARKET

The Lakes Region presents unique challenges. Properties often go under contract in summer when showing conditions are ideal, but contingencies can push closings into winter when access becomes difficult, and buyer interest cools. A $50,000 plowing budget sounds substantial, but it can't compensate for months of lost opportunity if the deal ultimately fails.

The lesson wasn't that home sale contingencies should never be accepted. In the right circumstances, with proper protections, they can work. But sellers need every safeguard available, especially the ability to move to a backup buyer if opportunity knocks.

That Moultonborough property eventually sold. But it took longer than it should have, and the sellers endured months of uncertainty they could have avoided.

Now, when Brie advises sellers on contingent offers, she thinks about that $50,000 deposit that covered plowing costs but couldn't buy back lost time. And she makes sure the kick-out clause is part of the conversation.

FREQUENTLY ASKED QUESTIONS

What is a kick-out clause, and how does it protect sellers?

A kick-out clause allows sellers to continue marketing their property even after accepting a contingent offer. If another buyer makes an acceptable non-contingent offer, the original buyer must either waive their contingency within a specified timeframe (typically 24-72 hours) or release the property. This prevents sellers from being locked into a deal that may never close while missing other opportunities.

How can sellers evaluate the risk of a home sale contingency?

Your agent should research the market where the buyer's property is located, connecting directly with their listing agent to verify pricing strategy, current market conditions, and realistic timeline expectations. Request data on comparable sales and average days on market. Verify that the buyer's property is priced competitively. If the property is overpriced or in a slow market, the contingency carries higher risk regardless of deposit amount.

Are large deposits enough protection when accepting contingent offers?

Deposits help offset carrying costs and demonstrate buyer commitment, but they don't compensate for lost opportunity if the deal fails. In seasonal markets like the Lakes Region, timing matters enormously. A property off-market for months during peak season may struggle when it re-lists. Deposits should be combined with kick-out clauses, realistic timelines, and thorough due diligence on the buyer's market conditions.