Subject to Finance Clause

A contract clause letting the buyer pull out if their loan isn't formally approved by a specified date.

A "subject to finance" or "finance approval" clause is a special condition in a Contract of Sale giving the buyer a defined period (typically 14 to 21 days from exchange) to obtain unconditional finance approval. If finance is not secured by the cut-off date, the buyer can withdraw and recover the full deposit. Auction contracts typically do not allow this clause.