October 9th 2021

If you’re in the process of buying a home, there’s no doubt you’ve seen the term “Under Contract” on more than a few real estate listings—perhaps even on the very home you’re trying to buy! So, how long does it take for a house to go from pending to sold?

What does ‘under contract’ mean?

The terms of a under contract can vary quite a bit. But a pending offer almost always means there’s an “accepted and binding contract” between buyer and seller.  It means that both parties have signed a contract and are ready to move forward.

But there are often boxes that need to be checked (on both sides) in order for the sale to go through.

An offer is ‘pending’ because there are some items that have not yet been completed in order for the contract to close.  This can be anything from contingencies of the purchase, repairs, inspections, court approval, or reports.

No time limit negates a contact.  The contract must be terminated, or adhered to and fulfilled (by both parties). Courts will decide legal disputes if the parties involved can’t come to a cooperative resolution, but until then—the property sits in limbo.

How long does it take for a house to go from under contract to sold?

In other words, how long does this crazy limbo period usually last?

There’s no hard or fast answer, but typically if a buyer is getting a loan, the total under contract time is about 30 to 60 days.  If a buyer is paying cash, the closing can take place in as little as a week.

The amount of time an offer remains pending will often depend on exactly what terms each party is trying to meet, and how straightforward they are.

In the event the contract close date is delayed for funding or repair issues, the pending status would continue until there’s a resolution— or the contract is terminated. 

The bottom line? Under contract offers (on average) tend to last anywhere between a week and two months, but delays do happen. Here are a few of the most common reasons why.

Reasons why under contract offers can take longer

There are a lot of mundane reasons an under contract offer can just sit in limbo for months on end. Those include things like inspections, or a delay with the survey, appraisal, or even the homeowner insurance. Here are a few other issues to be aware of.

Repairs

Repairs can definitely cause the under contract status to stretch out for a longer period of time.  Most of the time, both parties are in agreement. However, there are times when hostility arises, and parties seek legal counsel. During this time, the property will remain pending.

Financing issues

Under contract offers can go longer than 30 to 60 days if the buyer and seller agree to a longer term due to financing issues.  One example is if a seller is building a home and requests a longer period between contract to closing in order for them not to move twice—but the buyer would have to agree to those terms in the offer.

Missing paperwork or special loans

Missing paperwork situations include title issues, such as a missing deed or a signature on a deed from a long-lost family member.

Another thing to consider is the type of financing being used, since the red tape surrounding certain types of loans can also lead to longer close times.

Areas where FHA, state, and local-led financing, and/or USDA loans are more prominent, are likely to have longer transaction times, resulting in longer pending times.

What can you do to speed things up?

The answer might sound simple, but being organized and having a great real estate agent helps a lot.

Having a good and attentive real estate agent can actually make or break a pending status.  Throughout the sale process, both sides of the sale have tasks to complete, and often these tasks must be conveyed by the agent.

So be sure to hire a real estate agent who has the expertise to see the deal through—both by helping you to complete your half of the contractual to-do list, and by keeping on top of the other party if things fall behind.

I've been helping clients buy and sell at the Shore since 1995, with hundreds of sales.  

Put my experience to work for you and call or text Teresa at 609-780-1434 today!