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What does it mean when a sale goes from contingent to pending with real estate?

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Understanding the Transition from Contingent to Pending in Real Estate Sales

When it comes to buying or selling a property, understanding the terminology used in real estate transactions is essential. One common question that often arises is, "What does it mean when a sale goes from contingent to pending with real estate?" In this brief review, we will explore the positive aspects and benefits of this transition and outline the conditions under which it typically occurs.

I. Definition: From Contingent to Pending

  • A contingent sale refers to a real estate transaction in which an offer has been accepted by the seller, but certain conditions must be met before the sale can be finalized.
  • When a sale goes from contingent to pending, it signifies that all contingencies have been satisfied, and the sale is now in the final stages of completion.

II. Positive Aspects of the Transition

  1. Increased Certainty:

    • Moving from contingent to pending provides both buyers and sellers with a greater sense of assurance that the deal will be completed successfully.
    • The removal of contingencies eliminates potential obstacles that could derail the sale.
  2. Commitment from Both Parties:

    • Transitioning to pending indicates that both the buyer and seller have demonstrated a strong commitment to moving forward with the transaction

Pending, Release/Continue to Show: An offer has been accepted, and contingencies have been met, but there is still some release or "kick-out clause" for one of the parties. The seller will still show and accept offers in this case. Pending, Do Not Show: The sale is essentially a done deal.

What does offer no show mean in real estate?

No show. A “no show” contingency is the opposite of a “continue to show” contingency. This means the seller agrees to stop showing the home during the closing process. It provides additional security for the buyer, and sellers typically agree to this arrangement if they feel confident that their buyer will come through

What does under contract offer show mean?

“Active Under Contract” is a real estate term that indicates the status of real property (single family home, condo, townhome, etc.) that has been put up for sale wherein a seller has accepted an offer from a buyer, but the deal has not yet closed. This term is primarily used in the State of California.

What does active offer with bump show mean?

The active offer with bump – This wording on a property listing means that the seller has accepted an offer and has the right to accept another offer.

Can I outbid a pending offer?

Unless the pending deal falls through, you can't simply win over the seller by offering more money or waiving certain contingencies. In fact, most sellers are contractually obligated to honor the current offer, even if a higher bid comes in.

What does status mean on a house?

Most of the properties listed in the multiple listing service (MLS), the database where real estate agents list homes for sale, will have an active status. That's because an active status means that the home is currently available for sale.

What is the meaning of property status?

The status of a property listing lets you know what's going on with the property. It will let you know if it's still available (active) – almost sold, but not quite (pending) or has it been taken off the market for one reason or another (sold, rented, terminated, withdrawn or expired).

Frequently Asked Questions

What does status mean on a form?

The status of a form is used to let Company Admins and Company Designers of an account know what stage of development a particular App is currently in.

Can a seller accept another offer while contingent?

Contingency with a kick-out clause

That means the seller can continue to show the home and accept offers during the sale contingency period. If the seller gets a better offer, they'll allow the original buyer 72 hours to drop the sale contingency and proceed with the deal.

Is it worth looking at a house that is contingent?

Owners whose home is in contingent status can accept a backup offer, and that offer will have precedence if the initial deal does not go through, so if you like a contingent property, it makes sense for you to make an offer on the listing so that you are in position to buy if something goes wrong with that transaction.

Why would a house go from contingent to pending?

A property is contingent when the seller has accepted an offer, but they are keeping the listing active in case contingencies aren't met. A property is pending when the provisions on a contingent property are met and the sale is moving forward.

How often do contingent offers fall through?

Among contingent offers, less than five percent fall through, according to multiple sources. Broken offers may arise because the buyer isn't able to secure financing or because the seller isn't willing to lower their listing price after a low appraisal.

Why would a house be contingent?

A contingent listing is one where the seller has accepted an offer, but is opting to keep the listing active while they make sure all conditions are properly met. If the contractual conditions are met — both by the buyer and the seller — the sale will go through.

How long is a contingent offer good for?

30 to 60 days

The contingent period usually lasts anywhere from 30 to 60 days. If you have a mortgage contingency, the buyer's due date is usually about a week before closing. Overall, a home stays in contingent status for the specified period or until the contingencies are met and the buyer closes on their new house.

What does active status mean in real estate?

Currently available for sale

What Does It Mean When a House is Active? Most of the properties listed in the multiple listing service (MLS), the database where real estate agents list homes for sale, will have an active status. That's because an active status means that the home is currently available for sale.

What does it mean when a real estate listing says active?

When real estate agents list a property on the MLS, it will be listed as “active,” meaning that it's for sale and that the sellers are accepting offers. Once the sellers and buyers agree on a sale price and sign a purchase and sales agreement, agents update the listing on the MLS to “active under contract.”

What does active R mean in real estate?

The seller of a house with the status "active first right" has accepted an offer. The status also indicates the seller will entertain more offers. The initial buyer, however, retains the right to match further offers.

What is the difference between active and pending in real estate?

When a property is listed as “active under a contract,” there are conditions/contingencies that must be met before the deal can close. However, when a property is listed as “pending,” all the contingencies have been met and the deal is on the road to being finalized.

What does inactive status mean in real estate?

If a California real estate agent cannot finish these educational requirements during their four-year licensing period, their license will become inactive. Once inactive, their license can be reinstated if the real estate agent completes their educational requirements within two years.

What does short sale contingent mean?

A Contingent: Short-Sale status indicates that the home is no longer for sale due to an accepted offer, but the short sale is still in process.

What does a short sale contingency protect against?

A home sale contingency gives the buyer a specified amount of time to sell and settle their existing home in order to finance the new one. This type of contingency protects buyers because if an existing home doesn't sell for at least the asking price, the buyer can back out of the contract without legal consequences.

Why would a house be contingent for months?

Home sale contingency

Sometimes buyers need to sell their homes before they buy another one. In this case, the buyers will make an offer contingent on the sale of their home. If the buyer's home doesn't sell within the contingency period (usually 30 to 60 days), the home sale is off.

What makes a house go from under contract to pending?

Key Takeaways. “Under contract” means the seller has accepted an offer, but there are still conditions to clear before closing. “Active under contract” means the seller is welcoming backup offers. “Pending” means the home is under contract, and all conditions have been met for the deal to close.

What is the difference between pending and under contract in Florida?

To put it simply, pending vs. under contract refers to the stage in the homebuying process. A sale is first listed as under contract and once the stipulations have been successfully met, it is then considered a pending sale.

What does pending mean in Florida real estate?

What does “pending” mean in real estate? A pending sale status means the seller has accepted an offer from a hopeful buyer, but the deal hasn't closed yet. (This is different from a contingent sale.) A property is placed in pending status the minute a contract is executed.

FAQ

What does it mean when a house changes to pending?

A pending sale in real estate simply means that the seller has received and accepted an offer on their home. However, the deal is not yet finalized — hence “pending” and not simply “sold.” If you're interested in a pending property, your agent should consult with the seller's agent to learn more about the status.

Does pending mean under contract on Zillow?

When a listing on Zillow - or any other real estate site - is pending, the property owner/seller has accepted an offer, but the closing hasn't happened yet. During the time between offer acceptance and closing, many steps must be taken, such as a title search, home inspection, home appraisal, and obtaining a mortgage.

What does offer to show mean?
A home is considered under contract when the buyer submitted an offer to buy the property and the seller has accepted the offer. This means that both parties have committed themselves to proceed with the transaction, and it will proceed once any contingencies are met or waived by either party.

What does contingent take back up mean?

Taking backups

This means that the seller has accepted an offer on their home. However, they may have hit a snag in the final stages. This could mean that there was an issue with a contingency on the offer. Now, the seller is accepting backup offers in case their deal falls through.

What does contingent take back up mean on Zillow?
Accepting Backup Offers

This term is the same as contingent. During the initial buyer investigation, most listing agents will continue to show a property for backup offers. Secondary buyers can submit an offer and if the seller accepts, they are then in a backup position.

What does take back up mean in real estate?

A backup offer is a legally binding contract that ensures that if the first offer falls through your offer is next in line. Backup offers in real estate are great if you found your dream home and don't want to miss your chance.

What is the difference between active and active contingent?

Active – The home is for sale, listed on the Multiple Listing Service (MLS). Contingent – The seller has accepted a conditional offer and the contingency or contingencies have not yet been removed.

What is the difference between active contingent and pending?

A property listed as contingent means the seller has accepted an offer, but they've chosen to keep the listing active in case certain contingencies aren't met by the prospective buyer. If a property is pending, the provisions on a contingent property were successfully met and the sale is being processed.

What does active with contingencies mean in real estate?

In simple terms, it means “depending on certain circumstances.” When a property is listed as 'active contingent', it means the seller has accepted an offer on the home but the contingencies – such as an inspection or financing – have not yet been met.

What does active pending mean in real estate?
Active means it is still available for sale. The Pending period starts after the OptionPending period ends, where the buyer has the right to back out. In the pending period sometimes the buyers mortgage process is still going on and the seller might still show the house to other buyer/s for any back up offer/s.

Can you make an offer on a house that is active contingent?
Owners whose home is in contingent status can accept a backup offer, and that offer will have precedence if the initial deal does not go through, so if you like a contingent property, it makes sense for you to make an offer on the listing so that you are in position to buy if something goes wrong with that transaction.

Can a house go from contingent to pending?

A property is contingent when the seller has accepted an offer, but they are keeping the listing active in case contingencies aren't met. A property is pending when the provisions on a contingent property are met and the sale is moving forward.

Why would a house go from contingent to listing removed?
It may have expired, the sellers decided to not sell, the property was damaged, etc. It means that the seller has decided to wait to sell the house or has changed their mind about selling. Listing removed does not mean a house was sold.

What does pending taking backups mean?

Definition of Pending - Taking Backups

The seller's listing agent can change the home's status to "Pending - Taking Backups," which will allow the seller to consider backup offers in case the original offer falls through.

What does it mean when a property is accepting backups?

In home buying, a backup offer is made in acknowledgment of an existing offer and ensures a contract with the seller if that first offer falls through. It's a legally binding contract that, if accepted by the seller, will put you next in line to purchase the home should the first buyer back out.

What is the difference between pending and backup offers accepted?

Interested buyers can often submit a backup offer. With a pending listing, the seller has accepted an offer and all conditions have been met for the sale to close. The deal is usually too far along for backup offers.

Can you put a back up offer on a pending house?

If you think a home marked “sale pending” is off-limits, think again. Yes, this label means that the buyer and seller have negotiated an accepted purchase contract, but things happen—and sales can fall through. For that reason, there's no harm in making a backup offer.

Are backup offers worth it?

“The buyer in the primary position will be more inclined to keep the deal together if they know other buyers are standing by waiting for something to go wrong.” That said, if you have your heart set on a particular home, making a backup offer can still be worth it — you just might get lucky.

What does it mean when a sale goes from contingent to pending with real estate?

What is the difference between under contract show and no show?

Under Contract-Show Listings

'Under Contract' listings can be broken down into 'Show' and 'No Show. ' These properties are 'Under Contract' with a buyer. Show listings can still be shown for another buyer to make a backup offer. Some MLS systems in other parts of the county may call this status 'Backups Requested.

What does show offer mean? A home is considered under contract when the buyer submitted an offer to buy the property and the seller has accepted the offer. This means that both parties have committed themselves to proceed with the transaction, and it will proceed once any contingencies are met or waived by either party.

What is a ghost offer in real estate?

The term ghost offers likely was originated by a disgruntled realtor who was aggravated with local investors who would make offers on properties, get a contract on them and then not close when the time came. Often, these investors would cancel the contract under their inspection period clause.

What foes contingent mean on real estate ads

A property listed as contingent means the seller has accepted an offer, but they've chosen to keep the listing active in case certain contingencies aren't met 

What does it mean when it says pending continue to show?

“Pending continue to show” means that the seller wants to continue to show the house to other buyers in case the current contract falls through. During this time, the seller will still encourage—and even sign onto—backup offers for the property.

What's the difference between pending and continued in houses?

Pending continue to show means that the sellers want the home to still be shown just in case the current contract falls through. Option Pending means that the house is under contract and the buyer has negotiated a certain amount of time for due diligence period before moving forward with the contract.

What does it mean when a house is pending with showings?

A pending status means a home sale isn't complete. So, in theory, you could still visit the property. But as we mentioned above, if the seller signed a contract without a kick-out clause, they won't be able to accept showing requests or offers for their home.

What does status mean in real estate?

1. Active. An active real estate listing status means the house is for sale and open for showings and offers. No offer has been accepted yet on a home listed as active. Feel free to offer however much you believe the house is worth.

What does status mean on MLS? ACT Active: Property is available for sale and must be available for showings. Will expire on the. original expiration date the agent entered. CON Active Contingent: Seller has accepted an offer but has requested that property remain.

What does listing status active mean?

When real estate agents list a property on the MLS, it will be listed as “active,” meaning that it's for sale and that the sellers are accepting offers. Once the sellers and buyers agree on a sale price and sign a purchase and sales agreement, agents update the listing on the MLS to “active under contract.”

What does the status pending mean in real estate?

A pending sale in real estate simply means that the seller has received and accepted an offer on their home. However, the deal is not yet finalized — hence “pending” and not simply “sold.” If you're interested in a pending property, your agent should consult with the seller's agent to learn more about the status.

What makes a house go from contingent to pending?

The difference is that contingent listings still need to meet one or more specific conditions before moving forward. With pending deals, conditions have been met, and both parties are planning to move forward to closing.

Is it better for a house to be pending or contingent?

If a home is listed as pending, all contingencies have been met and the sale is further down the closing path, with most of the paperwork in place — but the transaction has not yet been completed. You are more likely to be successful making an offer on a contingent home than a pending one.

How long are most contingent offers?

30 to 60 days

The contingent period usually lasts anywhere from 30 to 60 days. If you have a mortgage contingency, the buyer's due date is usually about a week before closing. Overall, a home stays in contingent status for the specified period or until the contingencies are met and the buyer closes on their new house.

Is it better to be under contract or pending?

While “under contract” typically means there are still contingencies left to clear, pending status usually means all contingencies have been met and the deal is on its way to closing. Pending listings are less likely to accept backup offers.

What is the difference between contingent and active?

Active – The home is for sale, listed on the Multiple Listing Service (MLS). Contingent – The seller has accepted a conditional offer and the contingency or contingencies have not yet been removed. Pending – The home sale is moving toward finalization.

Does active contingent mean sold?

When a property is listed as 'active contingent', it means the seller has accepted an offer on the home but the contingencies – such as an inspection or financing – have not yet been met.

What does pending with contingencies mean?

A property is contingent when the seller has accepted an offer, but they are keeping the listing active in case contingencies aren't met. A property is pending when the provisions on a contingent property are met and the sale is moving forward.

  • What is the difference between active contingent and contingent?
    • A contingency is a condition that must be met during a specified period of time. Once the condition is met, the contingency is cleared and the sale moves forward. “Active contingent” means the seller accepted an offer that includes one or more contingencies.

  • What is the difference between pending and pending with contingencies?
    • The difference is that contingent listings still need to meet one or more specific conditions before moving forward. With pending deals, conditions have been met, and both parties are planning to move forward to closing. As a buyer, you may be able to make a backup offer on a listing that's under contract.

  • What does active contingent MISC mean in real estate?
    • Active contingent is one of the many status updates given to an active listing. If a property has an active contingent status, it means the seller has accepted an offer from a buyer. However, the home sale isn't finalized yet because certain contingencies need to be met.

  • What does active contingent mean?
    • In simple terms, it means “depending on certain circumstances.” When a property is listed as 'active contingent', it means the seller has accepted an offer on the home but the contingencies – such as an inspection or financing – have not yet been met.

  • What is difference between pending and contingent?
    • Hear this out loudPauseThe difference is that contingent listings still need to meet one or more specific conditions before moving forward. With pending deals, conditions have been met, and both parties are planning to move forward to closing.

  • What is the difference between option pending and under contract?
    • Option Pending means somebody made an offer and the seller and buyer have agreed on the terms. Everyone has signed it, and the contract has been escrowed at the title company. It means it's under contract. which is basically when the buyer is doing their due diligence because they are getting inspections.

  • What is the difference between option pending and pending continue to show?
    • OP - Option Pending Listings that are under contract and the seller and buyer have agreed to use the “Termination Option” in paragraph 23 of the standard TREC contract. PS - Pending Continue to Show Used for listings currently under contract but are still available to show.

  • What does option pending with contingency mean?
    • A property is contingent when the seller has accepted an offer, but they are keeping the listing active in case contingencies aren't met. A property is pending when the provisions on a contingent property are met and the sale is moving forward.

  • What does it mean to be under contract with option?
    • Even though the buyer has the option to purchase the property, under an option contract, they're by no means obligated to do so. The seller does have to wait until the buyer either tells them no or the contractual time frame runs out.

  • What does option pending mean when buying a house?
    • Option Pending status of the listing means that house is under binding contract and that during the Option Period (number of days in the contract as agreed by buyer and seller) buyer has unrestricted right to terminate the contract for any reason.

  • What does it mean when a house goes from contingent to under contract?
    • 'Under Contract' is probably the most accurate way to describe a pending or 'contingent' sale. It means the same as the other statuses above; a buyer and seller have agreed to terms and have executed a contract. But, the contract has yet to go to closing.

  • How do you go from contingent to pending?
    • A property is contingent when the seller has accepted an offer, but they are keeping the listing active in case contingencies aren't met. A property is pending when the provisions on a contingent property are met and the sale is moving forward.

  • Which is better pending or under contract?
    • Under contract vs. sale pending: What's the difference? While “under contract” typically means there are still contingencies left to clear, pending status usually means all contingencies have been met and the deal is on its way to closing. Pending listings are less likely to accept backup offers.

  • What comes first contingent or under contract?
    • Once your home is under contract, but some contingencies need to be met, your property is considered contingent. A contingent contract means that some condition hasn't yet been met, and both parties have not agreed to move forward with executing the deal as planned.

  • What is an example of a contingency on a house sale?
    • Contingencies can include details such as the time frame (for example, “the buyer has 14 days to inspect the property”) and specific terms (such as, “the buyer has 21 days to secure a 30-year conventional loan for 80% of the purchase price at an interest rate no higher than 4.5%”).

  • What does it mean when a house is for sale but it says contingent?
    • Depending on certain circumstances

      What Does Contingent Mean In Real Estate? Contingent means “depending on certain circumstances.” In real estate, when a house is listed as contingent, it means that an offer has been made and accepted, but before the deal is complete, some additional criteria must be met.

  • Can you still buy a house if its contingent?
    • In most cases, putting an offer in on a contingent home is an option to consider. Although it doesn't guarantee you'll close on the home, it does mean you could be first in line should the current contract fall through. Putting an offer in on a contingent home is similar to the homebuying process of any active listing.

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