What does pending mean in real estate?

You've been searching and have finally found the perfect home, but it's listed as "pending." This status might seem like a closed door, but it doesn't necessarily mean the deal is done. A pending listing means the seller has accepted an offer and the property is off the market, but the transaction hasn't yet closed. The good news is that, depending on the circumstances, you may still have a shot at purchasing the property.

In this guide, we'll explore what pending status means, the different types of pending listings, how it differs from contingent status, and whether you can make an offer on a home that's already pending.

What does it mean when a house is pending?

A pending sale means a seller has accepted a buyer’s offer. Though the sale is nearly complete, the house hasn’t been sold yet but is under contract. There’s always a slight chance the sale could fall apart if, for example, a buyer’s financing gets denied.

“Pending means the property is essentially spoken for and is no longer actively being marketed. What’s often left are the last few administrative steps, such as title work, final loan paperwork, buyer walk-through, and setting the closing date,” says Patrick Connelly, a real estate agent with Douglas Elliman Real Estate.

A motivated buyer who’s still interested in a real estate listing with a pending status is allowed to put in a bid on the home. But it’s unlikely that the seller will be able to consider your offer unless the other sale falls through.

Be aware that once a property is on the market, a listing agent will add a property listing to the multiple listing service (MLS), a database of all the properties currently for sale in a geographical area. When a house is for sale, it has an “active” status. As it moves through the home-buying process, the status can update to “contingent,” “pending,” “canceled,” or “sold.”

Compare this to a contingent sale, which means the seller has accepted an offer with contingencies to resolve before finalizing the purchase. When a property is marked “pending,” that usually indicates a successful resolution of the conditions on the contingent property. The “contingent” listing status will transition to “pending,” and both parties are ready to move to the final stages of the escrow process.

Types of pending statuses

There are several different “pending” statuses to be aware of. These include:

• Pending taking backups. This means the seller has accepted an offer already but may consider a backup buyer in the event the first contract falls through.
• Pending no-show/do not show. “This describes a situation where the seller doesn’t want to allow additional showings while the deal moves forward,” says Connelly.
• Pending for more than four months. “When a home is pending for a long time, it could mean an unusually long escrow period was agreed upon, the buyer is using complicated or unusual financing, or issues are coming up during the escrow process that have caused hiccups,” Angie Greenspan, a Realtor with Compass, says.
• Pending short sale. Here, the buyer and seller may have agreed on a price, but the lender still needs to approve the sale before it can close. “This is because, in a short sale, the home is being sold for less than what is owed on the mortgage,” adds Connelly. “So, the bank has to review and agree to the lower payoff amount.”

Why might a pending sale fall through?

A pending sale can fall through for many reasons, including:

• Inability to secure financing: The sale can’t proceed if the buyer’s loan application is denied and they can’t get approved for financing.
• Home inspection issues: If an inspection reveals unexpected structural problems, the buyer and seller will likely renegotiate the home price. If they can’t agree on a new price, the sale may fall through if the buyer exercises their home inspection contingency.
• Short sale issues: With a short sale, a homeowner lists their property for sale to avoid foreclosure. The lender gets to approve who can buy the home. The seller will need to relist the property if the buyer doesn’t meet the lender’s requirements.
• Buyer’s remorse: It’s not uncommon for a buyer in a fast-paced real estate market to make an offer quickly, only to regret it later. And sometimes, a buyer’s priorities can change after an unexpected event or crisis, changing their minds on the purchase.
• Low appraisal: If the home appraisal comes in lower than the purchase price, the buyer may need to pay more upfront for the home to make up the difference and close the cost gap.
• Title issues: If a home has competing ownership claims or creditor liens on the property, it could become a financial and legal headache. That’s why buyers should strongly consider ordering a title search and getting title insurance before buying.

“Once the home inspection, appraisal, and loan contingencies are removed from the offer, that usually means both parties are agreeing to move forward,” says Greenspan. “Note that, in the rare cases that a pending home sale falls through, the buyer risks not getting their deposit back, which can be a giant financial loss.”

If you have your eye on a property with a pending offer that fell apart, find out why. If the reason is that the buyer couldn’t secure financing or they decided to move to another state, their loss could become your gain. If the issue was that the appraisal came in low or the seller needs to unload their home for less than they owe on their mortgage so they can settle with a lender, it may motivate the seller to lower the price, which could be to your advantage. If the deal collapsed due to major structural issues in the home, that’s a red flag that you might want to steer clear of this property altogether.

What’s the difference between pending and contingent?

If you come across a property listed as “contingent,” remember that there's a difference between contingent and pending in real estate. Again, when a property is listed as contingent, it means a seller has accepted a contingent offer, but the sale depends on certain conditions being met before it’s finalized. The seller can keep the property listed in case the conditions aren’t satisfied and the sale falls through.

Case in point: The home inspection contingency may be triggered if the seller refuses to make the necessary repairs identified in the inspection report. Or, the buyer may need to exercise the appraisal contingency because the property received a lower appraisal. Either scenario can cause a sale to fall through.

Recall that when a property is listed as pending, that means all contingencies have been satisfied, and the buyer is preparing to close on the property. Motivated buyers have a better chance of purchasing a property listed as contingent than a pending home sale.

This handy table quickly breaks down the differences:

Can you make an offer on a pending house?

In most situations, you can’t submit an offer once a home is pending. That’s because many buyers’ contracts don’t include a kick-out clause, so most sellers can’t continue to show the home or accept offers. Still, it doesn’t hurt to ask the seller’s real estate agent or Realtor® if you can submit a backup offer.

If the seller is allowed to accept a backup offer, you can use it to hold your place in line as a possible buyer for the home. If the initial deal falls through, the seller can sign a contract with you, and the house will be yours to buy. Backup offers can be beneficial in bidding wars and pending sales, but they don’t guarantee a chance to buy the home.

If the original buyer was serious enough to submit an offer and sign a contract, it’s unlikely their deal won’t make it to the closing table. But if you don’t want to miss even the slightest chance at buying the home, there are steps you can take to put an offer on a pending house.

How to make an offer on a pending house

Here are three steps you can take to make an offer on a pending real estate transaction:

1. Contact the listing agent

Before making an offer on a pending house, you or your agent should contact the listing agent to learn if the seller is accepting additional offers on the house or has a kick-out clause.

2. Draft your offer

Once the listing agent confirms the seller is taking offers, you can draft an offer on the house. You likely won’t hear anything back if the deal goes through with the initial buyer. If the deal falls through, the listing agent will likely contact you.

“Have your agent ask for as many details as possible about the offer the sellers currently have so that you have an idea of what your offer should look like,” suggests Greenspan.

You can include contingencies in your offer, but you should make it competitive in case the house goes back on the market.

3. Prepare your financing

It’s smart to get mortgage preapproval before putting in an offer on a pending house. Preapproval shows the seller you’re a serious buyer and have conditional backing from a lender to purchase the home. Including an approval letter may help set your offer apart from other offers the seller receives.

You can go a step beyond initial approval and get a verified approval letter,¹ which can be a sign to sellers that your finances and credit have been extensively vetted and examined. An offer from a buyer who has undergone a higher level of financial scrutiny can be attractive to a seller who just watched their home sale fall apart.

Pending real estate FAQs

The following questions and answers dive deeper into everything that goes along with a pending status.

Does pending mean you can’t buy a house?

Pending usually means you can’t purchase a house because the seller has already accepted an offer; however, the seller might be accepting backup offers.

Can a real estate agent show a pending home?

A pending status means a home sale isn’t complete. So, in theory, you could still tour the property, depending on the status. If the house’s status is “pending do not show,” the agent won’t continue to show the home; if the status is “pending taking backups,” they’re likely still showing the house. But if the seller signed a contract lacking a kick-out clause, they won’t be able to show the house or accept offers. While most agents discourage buyers from viewing a pending house because it can be a waste of time, contact the listing agent to find out if a pending home is still available for showings.

How long is a home sale pending?

How long a home is listed as pending depends on the buyer and the seller. There are no hard and fast rules. Homes are usually listed as pending for a couple of weeks to a couple of months, depending on how long it takes to close on the home. A cash buyer may close on the house much sooner.

When should I put in an offer on a pending home?

The sooner you can get your offer in on a pending home, the better. It’s more likely that a purchase offer will fall through earlier in the process when a buyer or seller is most likely to take advantage of an existing contingency to back out of the contract.

The bottom line

It can be disappointing to finally find a home you love and discover that it’s “pending.” But a pending sale isn’t a final sale. There’s a slim chance the pending offer could fall through, and you could still purchase the home.

If you’re just beginning your home buying journey, you can start the approval process today with Rocket Mortgage.²

¹ Participation in the Verified Approval program is based on an underwriter’s comprehensive analysis of your credit, income, employment status, assets and debt. If new information materially changes the underwriting decision resulting in a denial of your credit request, if the loan fails to close for a reason outside of Rocket Mortgage’s control, including, but not limited to satisfactory insurance, appraisal and title report/search, or if you no longer want to proceed with the loan, your participation in the program will be discontinued. If your eligibility in the program does not change and your mortgage loan does not close due to a Rocket Mortgage error, you will receive the $1,000. This offer does not apply to new purchase loans submitted to Rocket Mortgage through a mortgage broker. Rocket Mortgage reserves the right to cancel this offer at any time. Acceptance of this offer constitutes the acceptance of these terms and conditions, which are subject to change at the sole discretion of Rocket Mortgage. Additional conditions or exclusions may apply.

² Rocket Mortgage is a trademark of Rocket Mortgage, LLC or its affiliates.