A very common question is what does “Contingent” status mean and is the property available? This is a great question. I’ll answer it briefly below. For even more details, contact me and we can really get into the details.
The answer is technically NO, the property is NOT available. You next question is likely “Why is it showing up in my property search then?”. The property is not technically in “Pending” (Escrow) status yet so the switch cannot be made. Should you pursue a “Contingent” property or is it a waste of time? I will not beat around the bush, most likely it is a waste of time. Every now and then a back up offer might be accepted but in my experience, you are better off continuing your real estate search and finding something new as your chances to actually close escrow rise considerably.
In 2013, there is usually just one reason a property is marked “Contingent”. It has to do with short sales. When a buyer makes an offer to a seller on a short sale listing and the seller accepts, the deal is not quite executed just yet. Both parties must wait for a short sale approval from the lender(s). This approval wait time can take several weeks or it can take several months. The lender has the option to approve the sale, not approve the sale, change the price, change the terms, etc… If the lender(s) approve the short sale, then it will switch to “Pending” status and you no longer have to see a property you cannot have everyday in your property search. From there. assuming a successful escrow is achieved, the property will ultimately fall into Sold status as ownership has changed and the property is in possession of it’s new owners.
Contact me with any questions on the subject, I am always available. Also, have a question about a property in “Contingent” status? Call me so I can give you the scoop.
