What exactly does it mean when a house is "Under Contract"?
When I looked up the home on the Allen Tate Real Estate Company web site, it says that the home is under contract. I hate to sound ignorant but what does that mean?
Answer:
It means that the seller and a buyer have entered into a contract to purchase the home but the deal has not closed and ownership transferred.
If you are interested in purchasing the house, I would contact your realtor or the selling realtor and see if you can put in a backup contract on the property.
There are a number of reasons the first contract could fall through. I've seen people put in offers on home then have it fall through because they could not get financing. Contracts have gone bad because of inspection issues. People have argued over things like lighting fixtures or appliances and for some these have been deal busters.
As I said, go put in a back-up offer. You might just get lucky.
Jim Reske, Realtor
ERA Advantage Realty
Port Charlotte, FL
http://www.flwaterhomes.com
it means just what it says the house has a contract on it but it is possible that the owners still want to take backup contracts just incase the first one falls through. When a house in under contract that means the buyer and seller are going through the agreement of selling and purchasing the house. you wont sound ignorant just ask your realtor anything that is what they are there for to inform you on anything they will be more than happy to tell you. :)
it means that some else is looking into the house also. its poss that they had filled out some paper work on the house already, or gave an offer.
Your chances are pretty slim if it's under contract. But, you never know, it could fall through and you could end up getting it. Keep an eye on it. Or get your realtor to call the listing agent and check on it. There's a possibility if you bid higher, the seller's could take your contract over the other. Good luck!!
It means the seller has accepted an offer from a buyer and they have signed a binding contract to that effect. The house has not actually transferred the title of ownership from the seller to buyer (that happens at closing) but this is the first step in the actual sale of the house.
While it's possible the buyer could back out, it's not likely. The buyer is required to put up "earnest money," which is anywhere from $500 to $1000 (or more) when they sign the contract. This protects the seller from buyers who are not serious. If the sellers back out of the contract, they lose the earnest money.
Since you love the house, go ahead and put a backup contract on it (just don't put up any earnest money - say you'll do so if the other contract falls through). Don't get your hopes up and be sure to keep looking.
It means that an offer has already been made on the home and that the potential buyer is waiting for an acceptance of that offer or amount of money. If the seller accepts the offer then the transaction will close and the home would not longer be on the market. The seller has 30 days to accept the bid.
Under contract simply means what it connotes. The property is currently waiting for performances to be concluded under a contract. It means a buyer has made an offer and the seller has accepted that offer and there is a contract between the parties and they are now going through the process of completing the necessary terms under that contract before the property changes hands. If all performances are completed the property will be sold. If the performances can not be completed the property may come back on the market.
under contract means there is an offer on it already and the buyer and seller are negotiating back and forth to come to an agreement. if ya need any more help just e-mail me.
Lori
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