What Does Contingent Mean in Real Estate?

In real estate, contingent means the seller has accepted an offer, but certain conditions must be met before the sale can close. If those conditions aren’t satisfied by their deadlines, the contract can be canceled or renegotiated.

✅ What “Contingent” Really Means

  • A binding contract exists between buyer and seller.
  • Specific contingencies (conditions) must clear by stated deadlines.
  • Until cleared, the sale is not guaranteed to close.

📊 Contingent vs. Pending

  • Contingent: Under contract, but one or more contingencies remain open (inspection, financing, appraisal, title).
  • Pending: Most or all contingencies are cleared; the deal is moving toward closing (final docs, scheduling, funding).
  • MLS status names vary by market, but the above is the common workflow.

🧩 Common Contingencies in Offers

  • Inspection: Buyer can renegotiate or cancel if material issues arise.
  • Financing: Offer depends on buyer obtaining a loan at agreed terms.
  • Appraisal: Lender (or buyer) needs value to meet or exceed price, or parties must adjust.
  • Title: Title must be insurable/clear of certain defects or liens.
  • Home sale: Buyer must sell their current home first (less common in hot markets).

🔎 What “Contingent” Means for You

  • For buyers: You’re protected while you inspect, appraise, and finalize financing. Track deadlines closely.
  • For sellers: Home is under contract, but keep title payoff demands and disclosures moving to avoid delays.
  • Both: Extensions and repairs/credits should be documented with signed addenda.

📝 Can You Offer on a Contingent Home?

Often, yes. Many MLS systems allow backup offers. A backup becomes primary if the first buyer cancels or fails a contingency. Ask the listing side whether they’re accepting backups and how notices are handled.

⏱ From Contingent to Closed

  1. Open escrow; deposit earnest money by the contractual deadline.
  2. Complete inspections; negotiate repairs/credits as needed.
  3. Finalize appraisal and lending conditions (or cash verification).
  4. Clear title issues and confirm insurance.
  5. Sign closing documents; funds disburse; deed records.

📍 FSBO Tip

Put all contingency types and deadlines in the offer. Name the escrow holder, deposit amount, and who chooses the title company. Clear terms prevent disputes and missed dates.

❓ Contingent Status FAQs

Does contingent mean the home is off the market?

It’s under contract, but some sellers still allow showings or backup offers. Policies vary by listing.

Can a contingent offer fall through?

Yes—if contingencies like inspection, appraisal, financing, or title aren’t satisfied by their deadlines.

How do I make my offer stronger?

Increase earnest money, shorten timelines, or limit contingencies (only when prudent). Always keep protections you truly need.