You notice a home for sale on your favorite street in San Diego. However, there is a sign on it that says “Sale Pending.” A little further down, another home for sale has a sign on it that says “In Escrow.” What does “sale pending” actually mean?
In San Diego, once we have an accepted offer, the buyer will have several days to do their home inspections. This will typically be 10-17 days. It all depends on how competitive the market is. We then negotiate repairs, and while this is going on, we are all waiting on the buyers’ loan approval. This typically takes place within the first 17-21 days. At this point, the buyers must remove all contingencies. That is when the listing agent will put the “In Escrow” or “Sale Pending” sign up. Now, the buyers’ are committed and moving forward with the purchase of this home. The chances of them canceling are extremely slim. Although things do happen in life, at this point, if the buyer cancels, their deposit would be at risk.
A Home In Escrow May Still Be Available for Sale
As a buyer in San Diego’s competitive seller market, thinking outside the box can help you find homes that might not be on your radar. You would still submit an offer on a house even if it has just gone pending and is in escrow. If you genuinely love a property, have your Realtor contact the listing agent to gather details and see if backup offers are being accepted. If they are, be the first in line. There are times when the current buyer gets cold feet or struggles to secure financing. If you have a backup offer in place and the original buyer cancels, you can go under contract without competing with other buyers.
That said, it’s important for your agent to find out why the current buyer backed out. It could be due to something in the inspection report. The listing agent is required to provide that report, allowing you to review it for yourself. First-time homebuyers are often intimidated by inspection findings, even when the issues aren’t serious. Minor repairs that may seem overwhelming to them can often be handled quickly by a handyman. Having a
Search For Your Home
Even though you put in a backup offer, don’t stop searching for a home in San Diego. The chances of the current buyer backing out of the transaction in this market are slim. However, it can happen; we have had it happen with our listings. However, the buyer knows there is a shortage of homes coming on the market in many cases. If they are working with an experienced Realtor in the area, that Realtor will be able to walk them through the process and get a handyman/contractor to give them a quote and an idea of what it would take to fix the necessary items. At this point, the buyer will usually be at ease and follow through with the sale. If they don’t, you will be in the right place at the right time.
For help finding a home in the San Diego area, contact the McT Real Estate Group at 619-736-7003. We would be honored to help you through the process of buying a house and negotiating on your behalf. Please check our client references. You will be able to read up on the experience.