A Bump Clause is a term in a real estate contract that allows an accepted offer to purchase a home to be bumped by another buyer if certain terms are not met.

Most frequently, bump clauses are used on offers where the buyer’s offer is contingent on selling another home. If a second buyer appears and makes an offer that is not contingent on the sale of a home, the buyer in first position is allowed to waive that contingency. If they cannot, their offer will be bumped and replaced by the second offer.