Who’s ready for a post that’s as dry as toast?!!! WE ARE!! Lately I’ve been noticing a lot more Listings going from Active (For Sale) directly to Pending (Out of Option, No Contingencies). What does that mean?!!!?!?!? A couple of things.
First, the Buyer is waiving the Option Period. (That’s the 3 to 5 days when Buyers pay a typically nominal fee to “hold the house off the market” so they can complete inspections, negotiate repairs, etc.)
If it’s Pending right away, does that mean they full on waived an inspection? Not always. Most Buyers will still complete an inspection, they just don’t have any intention of negotiating repairs. Free Tip from Me to You? Always get an inspection.
Second, Pending means there are no contingencies. (Like full financial approval instead of the Pre-Approval required to make an offer.) That can be one of two things, the Buyers are paying cash OR they have a Lender that has taken the loan almost through Underwriting. Meaning, they’re solid Buyers and their loan is a go.
One more option is popping up lately. There are companies out there that let you ACT like a cash buyer just in case you’re not sitting on top of Money Mountain. How does THAT work? The company basically buys the house for you then you turn around and pay a service fee (1.4% to 1.9% of the Loan) and buy the house from them.
And THAT’S how you write a post that is truly as dry as toast. Now please enjoy this picture of a lady in a Peeps Hat as a reward for making it through that snoozer. P.S. I want one.
