Reasons Why Some Home Sales Fall Apart
Thursday Sep 07th, 2023
Selling a home can be a complex process, and sometimes even after an offer has been made, the sale can fall apart. While this can be frustrating for both the seller and the buyer, it's not uncommon. In this article, we'll explore some of the reasons why home sales can fall apart.
One of the most common reasons why home sales fall apart is due to financing issues. Even if a buyer has been pre-approved for a mortgage, they still need to go through the full approval process, which can sometimes result in a denial. Additionally, if the property appraises for less than the purchase price, the buyer may not be able to secure the necessary financing.
Another common reason why home sales fall apart is due to inspection issues. When a buyer has an inspection done, they may uncover issues with the property that they weren't aware of, such as a leaky roof or outdated electrical wiring. If the seller is unwilling to make the necessary repairs or offer a credit to the buyer, the sale may fall apart.
Contingencies Not Met
Many home sales have contingencies attached to them, such as a contingency for the buyer to sell their current home or a contingency for the buyer to secure financing. If these contingencies are not met, the sale may fall apart. For example, if a buyer's home doesn't sell within a certain timeframe, they may not be able to purchase the seller's home.
Sometimes, sellers can become emotionally attached to their home and have a hard time letting go. If a seller isn't willing to negotiate on price or make necessary repairs, a buyer may walk away from the sale. Similarly, a buyer may become emotionally attached to a home they've made an offer on and refuse to budge on certain terms, which can also cause a sale to fall apart.
While it's never ideal for a home sale to fall apart, it's not uncommon. Financing issues, inspection problems, contingencies, and emotional attachments can all be reasons why a sale falls through. It's important for both buyers and sellers to work with qualified professionals who can help them navigate the complex process of buying or selling a home and help minimize the chances of a sale falling apart.