Are you in the market for a new home, but feeling confused about the various real estate jargon? One term you may come across is “active under contract.” What does it mean and how is it different from simply “under contract?”
When a house is listed as “active under contract,” it means that the seller has accepted an offer from a buyer, but the transaction has not yet been completed. The house is technically still on the market and available for other buyers to make offers, but the seller and first buyer are in the process of finalizing the sale.
This status is also sometimes referred to as “pending” or “under contract – show for backup.” It`s important to note that in some states or regions, there may be different definitions or rules surrounding these terms. In general, however, “active under contract” means that the seller is still willing to entertain other offers, but the chances of the sale falling through are relatively low.
So, why would a seller accept an offer but keep the house on the market? There are a few reasons. One is that the seller may want to continue showing the house to other potential buyers in case the first offer falls through. Another reason is that the seller may be hoping to receive a better offer from a new buyer.
From a buyer`s perspective, seeing a house listed as “active under contract” can be frustrating. It may appear that the house is already spoken for, and the buyer may be hesitant to make an offer or view the property. However, it`s important to remember that the sale has not yet been finalized and there is still a possibility that the transaction could fall through. If the house is a good fit for you, it`s worth making an offer and seeing if you can secure the sale.
Overall, “active under contract” is simply a status that indicates a house is in the process of being sold, but the deal is not yet complete. It`s important to keep in mind that different regions or states may have slightly different definitions or rules surrounding this term, so it`s always a good idea to consult with your agent or do some research to understand the specific regulations in your area. Happy house hunting!