What does under contract mean? In real estate, being under contract means a buyer has made an offer on a home and the seller has accepted it, but the sale is not yet final. During this period (typically 35–45 days), both parties must meet specific contingencies, such as home inspections and financing approval, before the property officially changes hands.
Navigating the home buying process can be a whirlwind, especially in the fast-paced Denver real estate market. Once you find the perfect property and your offer is accepted, you enter the “under contract” phase. But what happens next?
Under Contract vs. Pending: What’s the Difference?
Many buyers confuse “under contract” with “pending.” While they are similar, there is a distinct difference in listing status:
- Under Contract: The seller has accepted an offer, but the deal is still in the contingency phase. The home may still appear as “active” or “active under contract” in the MLS, and the seller may even take backup offers.
- Pending: All contingencies (like the home inspection after the offer is accepted) have been met or waived. The deal is nearly certain to close, and the property is effectively off the market.
How Long Does it Take from Under Contract to Closing?
In 2026, the average timeline for the real estate closing process in Colorado is 35 to 45 days. This duration allows for the buyer’s mortgage underwriting, property valuations, and legal due diligence. Factors like the current Denver housing market trends can influence how quickly lenders and title companies move.
7 Essential Steps After Going Under Contract on a House
Once you are officially under contract, the clock starts ticking on your deadlines. Here are the steps after going under contract on a house to ensure a smooth closing:
- Earnest Money Deposit: Typically within 24–48 hours, you will deliver earnest money to the title company to demonstrate your “good faith” in the transaction.
- Home Inspection: This is a critical milestone. A professional will evaluate the home’s condition. If issues are found, you may negotiate repairs with the seller.
- Title Search: A title company will perform a title search in real estate to ensure the seller has the legal right to sell the property and that there are no liens against it.
- The Appraisal: Your lender will order an appraisal to ensure the home is worth the loan amount. In our local market, your Denver real estate agent will help you navigate the appraisal gap Denver real estate buyers often face.
- Loan Commitment: Your lender finalizes your mortgage approval. This is the final “green light” from the financial side.
- Property Insurance & Utilities: You must secure homeowners insurance and schedule utility transfers (water, electric, gas) for the day of closing.
- The Final Walk-Through: Usually 24 hours before closing, you’ll visit the property one last time to ensure it is in the agreed-upon condition.
Closing on a House Checklist
To keep your move on track, use this summary checklist of the real estate appraisal process for buyers and administrative tasks:
- ✅ Submit Earnest Money
- ✅ Schedule Home Inspection
- ✅ Review Title Commitment
- ✅ Complete Home Appraisal
- ✅ Secure Homeowners Insurance
- ✅ Finalize Mortgage Documents
- ✅ Transfer Utilities
- ✅ Attend Final Walk-Through
Ready to Start Your Denver Home Search?
Our team of experienced Denver real estate agents is here to guide you through every step of the contract process.
