Some home sales are terminated before closing. A client from California asked me today, “What are the main reasons that would cause Sequim home sales to get terminated?”
Why Home Sales Are Terminated
There are three main reasons home sales get terminated. First, if the buyer’s loan is not approved because the buyer doesn’t qualify, the transaction must be terminated. Second, if the lender’s appraisal comes in too low, and the buyer cannot make up the difference, or if the seller will not reduce the price, the transaction will be terminated. Third, if the home inspection does not meet with the buyer’s approval, they can terminate the transaction. There are other possibilities, but these are the three main reasons.
Home Sales Status in MLS
If you are using Sequim-Homes.com for your Sequim and Port Angeles MLS search, you can look at the “status” of a listed home. Very few online MLS sites show you the status of a transaction, but this MLS site does. If it is “active,” it is still available. If the status is “pending,” it is under contract right now. Another phrase used for “pending” is “Act-Under Contr.” which is active under contract.
If you see a home you like, but it is currently pending, and then after a few weeks the status goes back to active, that means it was terminated for one of the reasons above, and now it it available again. You can use our email alert system on our MLS site to tell you the home sales status of any listed properties.
Last Updated on September 6, 2019 by Chuck Marunde