This new term, Active Under Contract has been very confusing for many of my clients, as well as others. I thought rather than trying to explain it outright, it’s easier understood by reading direct from the governing body, GLAR, The Greater Louisville Association of Realtors.
2.501 ACTIVE UNDER CONTRACT: A listing may be placed in Active Under Contract status if an enforceable contract exists that contains one or more of the following type of contingencies: Financing, Appraisal, Inspections, Pending 3rd Party Approval, Pending Lien Holder Approval, the Closing of the Buyer’s Property and/or at the Seller’s Specific Written Request to Seek Backup Offers.
Upon the release of all the contingencies, a listing shall be placed into Pending status within 72 hours. If a Seller refuses to continue to show a home in Active Under Contract status, the listing shall be changed to Pending within 72 hours of the Seller’s communication of that refusal to the listing agent. To further clarify the exact status of a listing, Members may update the Listing Remarks and Agent Notes with additional details.