{"id":5646,"date":"2022-05-24T15:40:04","date_gmt":"2022-05-24T20:40:04","guid":{"rendered":"https:\/\/www.morty.com\/resources\/?p=5646"},"modified":"2022-11-22T13:11:52","modified_gmt":"2022-11-22T18:11:52","slug":"difference-between-pending-and-contingent","status":"publish","type":"post","link":"https:\/\/www.morty.com\/resources\/mortgage-101\/difference-between-pending-and-contingent","title":{"rendered":"Contingent vs. Pending: What\u2019s the Difference?"},"content":{"rendered":"\n

While strolling through your neighborhood (or scrolling through online listings), you might see signs on homes that read \u201cpending\u201d or \u201ccontingent.\u201d When a home you\u2019ve been eyeing finds itself in either status, you may wonder if it\u2019s now too late to buy.<\/p>\n\n\n\n

The two concepts can stir up a lot of confusion: What exactly do these statuses mean to both a buyer and seller? Can you make an offer on a property listed as pending or contingent? What’s the difference between the two? <\/p>\n\n\n\n

These are all great questions, and we’ll help you understand how and why you might still be able to nab your dream home. <\/p>\n\n\n\n

(Note that getting a mortgage pre-approval<\/a> in advance will be vital before you try to jump on a pending or contingent home.)<\/p>\n\n\n\n

The Difference Between a Pending and a Contingent Home <\/h2>\n\n\n\n

“Pending” means that potential buyers have submitted an offer on a home<\/a> and the seller has accepted an offer. But this doesn\u2019t mean the deal has closed or that the home has sold “sold.” Rather, it only indicates that a contract has been signed between both parties and the deal is progressing toward completion.<\/p>\n\n\n\n

A “contingent” home, on the other hand, means the deal still hinges on at least one major point<\/a>. In real estate purchase agreements, a contingency is a clause stating a certain action or requirement must be met so a contract can become legally-binding. <\/p>\n\n\n\n

When the seller accepts an offer, but chooses to keep the listing active in case certain contingencies aren’t met, it’s considered a contingent sale. For example, let’s consider an inspection contingency. Let’s say a home inspector finds something seriously wrong with the home’s foundation. A buyer can walk away from the home sale if an inspection contingency exists. <\/p>\n\n\n\n

The four most common contingencies are the appraisal contingency, financing contingency, title contingency and home sale contingency. No matter the type,  the home sale can only continue once all contingencies in the contract have been met. <\/p>\n\n\n\n

Let’s walk through a few common contingent listing statuses:<\/p>\n\n\n\n