As a professional, it`s important to know the difference between words that may be interchangeable or misunderstood. When it comes to real estate terminology, two words that often cause confusion are “contingent” and “under contract.” These terms refer to the different stages of a home sale, and knowing the difference can help both buyers and sellers navigate the process smoothly.
Contingent: This term is used to describe a home that is still technically available on the market, but an offer has been made and accepted under certain conditions. These conditions, called contingencies, can include anything from the sale of the buyer`s current home to a satisfactory home inspection. Basically, the sale is not yet final until these contingencies are met.
Under Contract: This term refers to a home that has an accepted offer with no contingencies. At this stage, the buyer and seller have agreed to the terms of the sale and the transaction is moving forward. The home is no longer technically available on the market, though the sale is not yet closed until the closing date arrives and all necessary paperwork is signed.
So, what`s the difference between the two? Essentially, a home that is contingent has conditions that need to be met before the sale can be finalized, while a home that is under contract is in the process of being sold with no conditions attached.
It`s important for both buyers and sellers to be aware of these terms and what they mean for the sale of a property. For buyers, knowing that a home has contingencies in place can mean that it`s not a done deal just yet and could potentially still be available if the contingencies are not met. For sellers, having a home under contract means that the sale is moving forward and they can start making plans for their next move.
In conclusion, while these terms may seem interchangeable, they actually refer to specific stages in the home buying and selling process. Understanding the difference between contingent and under contract can help both buyers and sellers during the transaction. As a professional, ensuring correct usage of these terms can also aid in attracting the right audience to real estate listings and information.