What does it mean when real estate is under contract?
Hey, everyone. I’m Patrice Henderson with Designed Living Real Estate, and just want to take a quick minute of your time to discuss with you, what does it mean when a home is under contract? Well, you may hear a different terminology, whether it’s under contract, pending, or offer accepted. But in reality, they all mean the exact same thing.
And what it means is that a seller has a home listed for sale. A ready, willing and able buyer wrote an offer on their property, that offer was accepted, and therefore everyone agreed to the terms of the contract and the property is now under contract, or the home is now under contract.
And it doesn’t mean that the home is officially sold or closed. It means that an offer is accepted. And so now the buyer has to do their due diligence with their inspection, they have to go through the appraisal. They have to make sure the lender is pleased with their process of getting a clear to close. So they haven’t gone through any of those extra steps yet. It just means the offer has been accepted.
And so no one else can get an offer accepted on that property unless that deal actually falls apart meaning there’s a contingency in place that is not able to be executed on and therefore both parties mutually agree to separate the contract and now that home is now available for sale and now that buyer can now start looking for other properties.
So that’s really it! If you have any questions leave a comment below, you can private message me, you can text or call me at 248-780-2521 or you can email me at [email protected]. Thanks and as always, close with Patrice!