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An inspection contingency is an addendum to a contract that gives buyers the right to have a professional house inspector or other third party examine the property within a certain period of time after the agreement to purchase has been signed.
A construction contingency, depending on whose perspective you view it from, could be an excuse for poor estimating when added by a contractor. If a contingency or percentage of the construction cost is added as a safety net, then that contractor need not be as thorough in his cost estimating. Using a construction contingency as a catch-all and in the absence of a detailed estimate may make that contractor not as competitive as others.