What is the difference between contingent and active contingent?

What is the difference between contingent and active contingent?

When you are looking at online home listings, “active” status indicates that the property is available for sale. But with a contingent listing, the contract is contingent upon the buyer’s ability to sell his existing home, i.e., if the buyer doesn’t sell his home, he is able to back out of the contract.

Can you still look at a house if it is contingent?

If a home’s status is Contingent Continue to Show, the seller has accepted an offer, but there are multiple contingencies they must address. At this time, the buyer is working to complete these contingencies, but other buyers can continue to visit the listing and submit offers.

What does active contingency mean in real estate?

If a home is listed as active contingent, it means the house is already under contract. However, your real estate agent can do some research and determine what the contingencies are. This will help you decide whether you want to submit a backup offer in case something were to go wrong.

Does contingent mean sold?

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.

How long do contingency contracts last?

A contingency period typically lasts anywhere between 30 and 60 days. If the buyer isn’t able to get a mortgage within the agreed time, then the seller can choose to cancel the contract and find another buyer.

How do you bump a contingent offer?

If the seller receives a subsequent offer satisfactory to the seller that does not contain the same condition or contingency, the seller can “bump” the first offer, requiring the first buyer to waive the condition or contingency or allow the seller to accept the subsequent offer.

Can a buyer walk away at closing?

A buyer can walk away at any time prior to signing all the closing paperwork from a contract to purchase a house. Ideally it is best for the buyer to do that with a contingency as that gives them a chance to get their earnest money back and greatly reduces the risk of being sued.

What does active contingent mean in real estate?

If a home’s status is “active contingent,” it means that the buyer has submitted an offer to the seller with contingencies, or issues that must be resolved before the sale of the property can be finalized.

What does active with contingencies mean on redfin?

What does it mean when a home is “Active with Contingencies” on Redfin.com? When a home is listed as “Active with Contingencies” or “Active Contingent,” the seller has accepted an offer from a buyer, but the buyer must meet certain conditions (or contingencies) before the sale can be finalized.

How long does the active contingent period last?

The length of the active contingent period can differ, but it is usually one to three weeks long. Don’t be surprised if it takes longer. This is always a possibility. Once all of the contingencies have been removed and the active contingent stage is completed, the property will show a “ pending ” status. This means the closing is not far away.

Where are contingencies listed in a purchase agreement?

Contingencies are listed in the purchase agreement — a legally binding contract between buyer and seller that lays out a timeline and expectation framework for the property sale. In order to execute the final deed transfer, the buyer and seller are contractually obliged to meet any contingent requirements.