What Does “Pending Sale” Mean?
Buying a home is a process. Once a buyer writes an offer and has it accepted, the
listing is placed in a state called “pending sale”, also known as “in escrow”. During this stage, the principals
involved perform all the elements of the contract, and once complete, the title is
transferred to the new owner.
Sounds simple, but this stage can become incredibly stressful if the contract
milestones are not met on time, or if problems are uncovered. Typically, a home
sale outlines the term for escrow 30 (give or take). During this time, inspections are
completed and reviewed, the appraisal is ordered, and final loan approval is
obtained. If there are no delays, the escrow will close on time and the buyer gets
the keys to their new home.
Unfortunately, there are often delays in this process, which can cause the sale to
drag on. Some common hiccups include negotiated repairs, financing or credit
issues, appraisal problems, missing paperwork, and title issues.
At times, delays become excessive and either buyer or seller may be ready to
move on. All contracts have milestones and benchmarks which outline by what
date each step in the process must be completed. When these dates are passed,
then the other party can make a demand to perform or close escrow.
Working with an experienced real estate agent can help ensure you are protected from
unnecessary delays during the escrow process.