What Is a House Active under Contract

What Is a House Active under Contract

If you`re currently on the hunt for a new home, you may have come across the term “active under contract” (AUC) in property listings. But what exactly does this mean?

In short, a house listed as active under contract means that the seller has accepted an offer from a buyer, but the sale is not yet final. The property is still technically on the market and available for other buyers to make offers, but the seller has accepted a contract from a particular buyer and is currently in the process of completing the transaction.

While in some cases a seller may continue to allow showings and open houses for AUC properties, in many cases they will not. This is because the seller has already accepted an offer and is unlikely to accept a higher one, so allowing other buyers to view the property could be seen as a waste of time and resources.

It`s important to note that while an AUC property is not officially sold yet, it is still a very strong indicator that it will be soon. In fact, many listings will include information about the status of the AUC contract, such as how long it has been active and what conditions (if any) still need to be met before the sale can be finalized.

For buyers, AUC properties can pose both challenges and opportunities. On one hand, if you really love a property that is active under contract, it may be tempting to make a backup offer just in case the current deal falls through. However, you should be careful to ensure that any offer you make is non-binding and does not conflict with the existing contract.

On the other hand, if you`re looking to buy a property quickly and don`t want to waste time on properties that are likely to be sold soon, you may find that AUC properties are a good fit for your needs. Just be sure to ask your real estate agent about the status of any AUC properties you`re interested in, since they may not always be clearly labeled as such.

In conclusion, active under contract is a term used in real estate to describe a property that has received an accepted offer from a buyer, but the sale has not yet been finalized. This status can provide valuable information for both buyers and sellers, and it`s important to understand its implications if you`re looking to buy or sell a property.

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