Now, if you are unable to utilize one of the contingencies to back out of a contract, you can still request to terminate the purchase agreement, but you’ll likely forfeit your earnest money deposit and lose out on the reimbursement of any services you paid for in advance such as the home inspections and the appraisal.

One major consequence for backing out of a transaction without cause is that the Seller could file a lawsuit against you.  Whether they choose to sue for Specific Performance or for alleged damages from having the home off the market, could turn your home buying experience into a nightmare.