The Top 3 Reasons Why House Sales Fall Through
If you're trying to sell your home, you likely only have one goal: to find the right house buyers who are committed.
With one out of every three home sale transactions in the UK falling apart before completion we have looked at the top reasons why home sales fall through. Whatever the reason for sales falling apart the repercussions can have devastating effects on the seller.
Here are three of the most common reasons why deals fall apart:
- Financing issues. One of the things that's happening in the background while your deal is waiting to complete is that the bank's underwriting the mortgage for your potential buyer. Even if the buyer was preapproved, it's still possible that their financing could fall apart in underwriting. Perhaps the buyer was dishonest or misleading in their mortgage application. Or the buyer may have had a serious financial change between the time they were preapproved and the time the deal is completed. If the buyer loses a job, changes jobs, or has a negative action on their credit report, the lender may think twice about going through with the deal. If the buyer's financing falls through, you'll go back to square one and have to search for a new buyer.
- Survey findings. Surveys are conducted in every transaction to protect the buyer from purchasing a home that has serious issues. In many cases, the survey reveals issues with the home that the seller didn't even know existed. Often those issues are easily resolved through a quick repair or an adjustment in price. However, sometimes those issues are so great that the buyer is not willing to move forward with the deal. This is especially true if there are major structural or foundational issues. If this happens, not only will you have to find a new buyer, but you also have to have these issues resolved so the next deal doesn't fall apart.
- Gazundering. Yes, it's a funny name. It's no laughing matter, though. Ever since the housing bubble in 2008, buyers have become more aggressive in their negotiations, with some even resorting to backing out of the deal just before exchange so they can obtain a lower price. Rude? Yes... but it happens. If you deal with a buyer like this, you have to decide whether to renegotiate the deal or walk away and find a new buyer. Neither choice is ideal.
Be prepared to relist your home for sale in the event that the deal falls through. Many things can happen between the time the offer is accepted and the time the deal completes. It's often wise to accept backup offers in case the deal doesn't make it to completion. You may also want to contact some national house buyers such as Fast Sale Today so you can be aware of all your options.
These risks are some of the reasons why many home sellers choose to skip the estate agent process altogether and only work with national house buyers like Fast Sale Today. We buy houses fast and for cash. Contact us today to learn how you can sell your house quickly to Fast Sale Today.