Making an Offer on Pending vs Contingent Properties: Your Strategic Options

When browsing home listings, you’ll often encounter properties marked as pending or contingent—and the distinction matters more than you might think. While both statuses suggest an offer is in play, they carry very different implications for potential backup offers and your chances of closing a deal.

The Core Distinction: Where Your Opportunity Lies

Contingent signals that an offer has been accepted by the seller, yet specific requirements must be satisfied before moving forward. These conditions might originate from the buyer (such as a home inspection requirement) or the seller (perhaps financing qualifications). Until all stipulations are fulfilled, the transaction remains fluid—and deals can unravel if contingencies aren’t met.

By contrast, pending indicates an accepted offer that’s already progressing toward closing. The heavy lifting has been completed. While deals can theoretically collapse at this stage, it’s rare. The momentum strongly favors the initial buyer.

The practical takeaway: contingent homes offer more openings for backup offers, whereas pending properties leave you with slim odds unless the seller explicitly accepts secondary offers.

Contingent Categories: Understanding Your Options

Probate Contingencies

When a homeowner passes away, probate contingencies come into play as either government or lending institutions manage the sale. These transactions proceed through court with public records—meaning less privacy and additional procedural steps. If you prefer streamlined transactions, these listings may warrant caution.

Kick-Out Clauses and Sales Flexibility

A kick-out clause grants either party the right to withdraw if predetermined conditions aren’t satisfied by a set deadline. Without this protection, sales risk extending indefinitely or collapsing unexpectedly. The presence of a kick-out clause actually works in your favor as a backup buyer—it signals higher exit probability.

Short-Sale and Foreclosure Contingencies

Short-sales involve the seller accepting less than the outstanding mortgage balance, with lender approval required. These sales move slowly and frequently appear on foreclosed inventory where banks control the process directly.

Show-and-No-Show Terms

Some contingent listings operate under “Continue to Show” (CCS) arrangements, meaning the seller keeps marketing while conditions are being fulfilled. Others include “No Show” agreements where all further marketing stops. CCS terms give backup bidders realistic chances; No Show terms essentially lock you out.

Pending Status: What It Really Means

Pending properties have passed contingency hurdles and sit in final processing stages. However, variations exist:

Pending short sales indicate the sale is advancing through bank or lender channels—progress is happening but may move slowly.

Pending with backup offers accepted means the seller remains open to secondary bids despite existing agreements. This unusual position creates opportunities if the primary sale falters.

Pending: More than 4 months typically signals administrative errors or genuine delays in closing. The listing agent may have forgotten status updates, or legitimate obstacles are preventing final closing.

Can You Actually Bid on These Properties?

Yes—sometimes. The answer hinges entirely on the status and seller preferences.

Contingent properties represent your strongest opportunity for backup offers. If the initial deal encounters issues, yours could activate. Preapproval letters or cash-on-hand strengthen your position significantly.

Pending properties rarely accept new offers unless explicitly marketed for backups. Your odds of acceptance drop sharply since the original sale is typically near finalization.

The strategic play: don’t overlook contingent listings. While pending homes feel “safer,” contingent properties with favorable contingency types (especially those with kick-out clauses) often present better actual chances for aggressive buyers willing to position themselves as backups.