“What’s the Point in Seeing What You Can’t Have?” Why Showings Drop Once a Home is Under Contract

Why see a home that you likely can’t buy?

In a nutshell, that explains why showings drop precipitously once a “For Sale” property is officially under contract.

That’s because, in most cases, Buyers and Sellers successfully resolve any inspection issues, and the transaction ultimately progresses to a smooth closing 4-6 weeks later.

Two Exceptions

That said, I can think of two scenarios when it can be smart for Buyers to see a home that’s sold, subject to inspection (assuming the executed Purchase Agreement allows it):

One. Multiple offer feeding frenzy.

In a (too?) fast-moving market characterized a shortage of inventory, at least a few Buyers are forced into bidding on a home before they’re ready.

Result?

Once the dust settles and emotions cool, Buyer remorse kicks in, and the winning bidder decides to walk.

Two. Older and/or bigger home.

Which home do you suppose is more likely to have an inspection issue (or several of them)?

a) the cute-as-a-button, move-in condition 3 BR/2 Bath home; or

b) a century-old, 4,000 square foot, three-story home that hasn’t been on the market in a couple decades.

Yup, that’s my guess, too.

The odds of an inspection hiccup are especially low for condos, where the Buyer is technically purchasing the air space between the walls.

Of course, that assumes the condo Buyer even chooses to do an inspection (I don’t recommend it, but many waive it).

Buyer (or Buyer Agent) Ulterior Motives

Of course, even when there’s a very low likelihood that a given deal will derail, various parties may still want to see it.

That includes just-starting-out Buyers, who want to see how much house they can get for their money; agents preparing to list similar, nearby homes; and listing agents of nearby homes that are about to be appraised.

In such instances, it’s appropriate to let the Seller know the purpose of the showing — in the latter two cases, by coding the request on MLS as a “Preview” — then let the Seller decide if they want to allow access.

See also, “Proper (& Improper) Purposes of Realtor Previews“; and “Can Sellers Continue to Show Their Home Until the Buyer Removes Their Inspection Contingency?”

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