While searching for Waltham Real Estate online you might often come across a listing that states it’s “contingent” or “pending.” If you’re not familiar with what these terms mean you’re probably confused as to what the difference between them is and whether the home is actually available or not. A Waltham Realtor is here to give you all the insight!
What Does Contingent Mean in Real Estate?
When you see that a home is contingent it means that the seller has accepted an offer on the home, however, before the home is completely off the market some specific requirements need to be met. Once certain requirements are met the status of the property will switch from an active listing to a pending status until the home is finally marked as sold.
What Does Pending Mean in Real Estate?
When you notice on a listing that the home is pending, Waltham Real Estate Agents suggest moving on from that home. A pending sale means that the offer has been accepted, the contingencies are all set, and the buyer and the seller are moving forward with the sale. A pending offer is the time period between the contingencies being met and the close of the sale.
Common Contingencies in Real Estate
As mentioned above, when a Waltham home is contingent it means there are still some requirements that need to be met before the sale can continue. Examples of contingencies include:
Buyers may put a home inspection contingency on an offer to make sure the home is in satisfactory condition prior to purchasing. Home inspections many issues such as bug infestations, foundation issues, mechanical issues, or mold issues.
Appraisal contingencies are also often required by lenders to make sure the house is at least worth the price of the accepted offer. The appraisal will look into amenities, location, home add-ons, or other higher-value features that might add or detract from the home's value. If the appraiser finds issues that make the home worth less than the offer that was accepted there could be issues with the sale.
If you’re taking out a loan to purchase a home, Waltham Realtors will often suggest a financing contingency before the sale is final. A financing contingency allows you to back out of a sale if for some reason the loan does not end up being granted.
Common Pending Types in Real Estate
There are a few kinds of pending sales in real estate, the common ones include:
Pending - Short Sale
A pending short sale means the home is awaiting approval from the bank. The bank has to approve all aspects of the sale which Waltham Realtors say could greatly slow down the closing process of the sale. Within short sales, deals often fall through because the banks take so long and the buyer ends up finding another home with a quicker closing process.
Pending - Taking Backups
When the status of a listing says “taking backups” this means the seller believes the deal is likely to fall through. Waltham Real Estate Agents say sellers may notice some financial problems or other issues and want to make sure they have some backup offers just in case. However, the offer has to fall through on its own, the seller cannot drop the offer if they happen to get a higher one.
Can You Make an Offer on an Active Contingent Listing?
Until a home is officially sold you can always make an offer. However, Waltham Real Estate Agents say the best time to make an offer on a home is when there are no pending sales or contingencies in the way. The next best time to make an offer is when the pending status says “taking backups.”
Contact A Waltham Real Estate Agent
If you’re looking for a reliable Waltham Realtor to assist you throughout the home buying or selling process, contact Hans Brings today! Hans will assist you every step of the way helping you get your dream home or the best possible offer on your current home. 617-968-0022