Executory contract

A contract that's been signed but not yet fully performed. A signed purchase agreement is executory until closing happens.

Offers & contracts · Updated September 2026

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Part 1 of 4

Why a seller cares

From signing to closing the contract is executory: both sides have promised and neither has finished. That stretch is when every deadline, contingency and default clause actually matters.

Part 2 of 4

A simple example

You and the buyer sign on March 1 with closing set for April 15. For those six weeks the contract is executory, and each side still has things to do.

Executory contract: a simple example
The momentThe contract's state
Both signatures deliveredExecutory: promises made, nothing performed yet
Inspection done, loan approved, title clearStill executory; the deed has not passed
Deed recorded and money paidPerformed; the contract has done its job

Executory is the whole under-contract stretch, said in one word.

Part 3 of 4

What people get wrong

That signing means the home is sold. It is promised. Sold is the day the deed and the money change hands.

Part 4 of 4 · where to read next

Where it appears in the sale

What a definition is, and what it isn't

Keighbor is a software company, not a law firm, brokerage, or tax adviser. This is general information, not legal, tax, financial, or real estate advice about your sale. Your situation may differ. Before acting on a contract, disclosure, title, tax, or pricing question, ask an appropriately licensed professional in your state.

Written and researched by Keighbor Research · drawn from the reference glossary · how we research and check what we publish

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