A financing condition typically runs 3 to 5 business days and gives you time to finalize your mortgage approval on the specific property, including its appraised value, not just your general pre-approval. Waiving it means you are legally bound to complete the purchase even if the lender later declines to fund it.
There are narrower ways to compete without waiving the condition outright, such as shortening the condition period once you already have a strong pre-approval, or getting the property pre-appraised where a seller allows it, so your financing risk is smaller without disappearing entirely.
An agent's job in a competitive offer is to make you competitive without leaving you exposed if the deal falls apart. Get your hand-reviewed valuation from Joel Dyck.