diff --git a/functions/src/create-contract.ts b/functions/src/create-contract.ts
index d58141a5..a30d508d 100644
--- a/functions/src/create-contract.ts
+++ b/functions/src/create-contract.ts
@@ -2,8 +2,8 @@ import * as admin from 'firebase-admin'
 import { z } from 'zod'
 
 import {
-  CPMMBinaryContract,
   Contract,
+  CPMMBinaryContract,
   FreeResponseContract,
   MAX_QUESTION_LENGTH,
   MAX_TAG_LENGTH,
@@ -97,7 +97,12 @@ export const createmarket = newEndpoint({}, async (req, auth) => {
     initialProb = getPseudoProbability(initialValue, min, max, isLogScale) * 100
 
     if (initialProb < 1 || initialProb > 99)
-      throw new APIError(400, 'Invalid initial value.')
+      if (outcomeType === 'PSEUDO_NUMERIC')
+        throw new APIError(
+          400,
+          `Initial value is too ${initialProb < 1 ? 'low' : 'high'}`
+        )
+      else throw new APIError(400, 'Invalid initial probability.')
   }
   if (outcomeType === 'BINARY') {
     ;({ initialProb } = validate(binarySchema, req.body))
diff --git a/web/pages/create.tsx b/web/pages/create.tsx
index ec86a277..5e50bbbb 100644
--- a/web/pages/create.tsx
+++ b/web/pages/create.tsx
@@ -180,6 +180,11 @@ export function NewContract(props: {
         min < initialValue &&
         initialValue < max))
 
+  const [errorText, setErrorText] = useState<string>('')
+  useEffect(() => {
+    setErrorText('')
+  }, [isValid])
+
   const descriptionPlaceholder =
     outcomeType === 'BINARY'
       ? `e.g. This question resolves to "YES" if they receive the majority of votes...`
@@ -232,6 +237,9 @@ export function NewContract(props: {
       await router.push(contractPath(result as Contract))
     } catch (e) {
       console.error('error creating contract', e, (e as any).details)
+      setErrorText(
+        (e as any).details || (e as any).message || 'Error creating contract'
+      )
       setIsSubmitting(false)
     }
   }
@@ -413,7 +421,7 @@ export function NewContract(props: {
       </div>
 
       <Spacer h={6} />
-
+      <span className={'text-error'}>{errorText}</span>
       <Row className="items-end justify-between">
         <div className="form-control mb-1 items-start">
           <label className="label mb-1 gap-2">