Home Buying in Tucson>Question Details

Squirty, Home Buyer in Tucson, AZ

What is the difference between active CAPA and active contingent? A home that we have a cash backup offer on has changed its status to active cont.

Asked by Squirty, Tucson, AZ Wed May 11, 2011

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I see a number of agents commented that the third party on a CAPA sale is a bank in a short sale. This may be the case, but it just means they are accepting and considering additional offers while they are progressing with the first offer they accepted. It could be a contingiency on the buyer selling his house, or it might be questionable financing by the first buyer. CAPA listings leave the door open and a second position offer frequently becomes the first position offer. To speak more specifically to your question, the change means that what ever the area of concern was by the seller has been addressed and the sale is pregressing normally. Keep watching the property, if you really love it, don't withdraw your offer yet unless you found something else you really like. Hopefully you are using an agent that structured your second position offer in such a way that you are not jeopardizing your earnest money if you did put some down.
If you have any questions, speak to your agent or call me at 370-8907.
Doug Seemann
Web Reference: http://dougs.longrealty.com
2 votes Thank Flag Link Wed May 11, 2011
CAPA stands for "Can Accept Purchase Agreements". This is typically used with short sales. For example, if there is an offer on a short sale, then the listing becomes "Active CAPA" because until the bank gives the final approval, the seller can still accept back-up offers. Once the bank gives their approval, then the listing is typically changed to Active Contingent. Active CAPA is also sometimes used if there is an accepted offer on a listing, but the buyer needs to first sell their current home by the agreed upon date. The seller could then accept back-up offers in case the current buyer can't follow through with selling his current house. Keep in mind, sometimes listings say Active Contingent, when they should really say Active Capa (often short sales), so be sure and have your agent make the necessary phone calls to find out the situation.
Web Reference: http://www.JillGrasky.com
1 vote Thank Flag Link Wed May 11, 2011
In the Tucson MLS system, "Active Contingent" usually means that the contingency is the inspection period. An agent usually changes from "Active CAPA" (usually means there is a short sale contingency) to "Active Contingent", when a short sale offer has been accepted by the seller's lending institution. Check with your agent to see what's happening.
1 vote Thank Flag Link Wed May 11, 2011
Active CAPA indicates the Seller currently has an offer/accepted contract terms but as the std. AAR contract states, the Seller is willing to take backup offers,which are subject to the initial contract closing or not for various reasons. When shown as Active contingen, t it indicates some action must be completed before the listing becomes Pending. This could be completion of an inspection by the Buyer and a Seller's response to same, it could be some other contingency that has to occur before the Seller or Buyer can complete the transaction. An example could be contingent that the Buyer sells an existing home, gets the local job he is expecting. You pick a circumstance and it could be a contingency in a contract.
A little wordy buy I hope it ans. your question.
0 votes Thank Flag Link Wed May 11, 2011
Curious, how did you make an offer without an agent or Realtor? They should have explained this to you. Active Contingent means there is an accepted offer, Capa means that there is still a 3rd party that needs to decide. So, in short when you see Active Capa the owner agreed to an offer but now the waiting begins for the bank to get back to them, taking about 6 months.

Best of luck.
Spirit
0 votes Thank Flag Link Wed May 11, 2011
Your question implies that you are not working with a realtor? Real estate transaction requires knowledge and experience and should not be attempted by oneself. Also, as a buyer you do not pay commission so why take a chance? Your specific question has been already answered by other realtors.
George in Tucson
0 votes Thank Flag Link Wed May 11, 2011
Active contingent means that the house most likely has an offer in on it and its closing is contingent upon certain circumstances. Most likely the ability to be approved for a home loan. Active capa means that a property is under contract but the seller is accepting backup offers. Hope this helps.
0 votes Thank Flag Link Wed May 11, 2011
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