Title: Real Estate FAQs: Pending vs. Sold: What is the Difference?
So, you’ve had your eye on a certain house but haven’t made a move yet. Then, you see online that it is listed as “Pending.” Oh no! You believe you have lost out on your dream home. Yet… in a few weeks, it’s back on the market. What happened? In the real estate market, “pending” and “sold” are not the same thing. Let’s look at exactly what each term means, how they are different, and what you need to know about them.
When a House is Pending
There are actually several different ways a house could be listed as pending, but it is not technically sold as yet.
Deal pending: This means someone wants to buy the house and has written a formal offer, the seller has an accepted offer, and all the contingencies have been met. The home is pending sale. This is the escrow period, when both buyer and seller are working toward a closing; the status will show as pending until then. More often than not, this ends in the eventual sale of the home. Even though a sale is highly likely, some pending properties may go back on the market if the deal falls through for any one of a number of reasons..
Pending, showing for backup: During this period, the seller is unable to enter into an agreement with another buyer, but the sale is not exactly a done deal. There’s an opportunity for a “backup” offer. This means the property's owners are actively taking other offers in case the first one falls through. If you are really interested in a home, you may want to consider having your real estate agent submit a backup offer so you don’t have it bought out from under you if it comes back on the market.
Pending, subject to lender approval: While it is recommended that buyers get pre-approved for a mortgage before shopping for homes, not everyone does this. In this situation, the seller has an accepted offer but is waiting to see if the buyer's bank will approve the mortgage loan. If not, the property could end up back on the market.
Sometimes, a property comes back on the market after being in pending sale status. This means that the home fell out of escrow, perhaps due to contract issues. Many potential homeowners fear this means something is wrong with the home, but often it has more to do with the financial situation of the previous buyer than anything else.
When a House is Sold
A home isn't technically sold until the seller no longer owns it. The house is sold when the deed has exchanged hands to the buyer and the necessary funds have been disbursed. Until the deal is closed and the house is sold, you still may have a chance.
Many buyers assume that “sale pending” means the property is no longer available. But that’s not always the case. If you’ve fallen in love with a home that shows as pending, don’t immediately rule it out. Contact The Beattie Realty Team and we’ll help you discover exactly what is going on with it. If we find out the offer is still contingent on several factors, like financing, we will make sure you are next in line. Our real estate professionals are smart, and will make your interest known, so that if the deal falls apart, you are right there, ready to step in. If the house’s sale does close, we will still be there for you- helping you find another house you will love just as much.
Reach out to us today by calling Mark Zinn at (239) 994-6187 or emailing him at firstname.lastname@example.org. Don’t miss out on your chance to buy the perfect house for you!