Waiting to get an offer from someone who wants to buy your house can be emotionally draining. Receiving an offer can make you feel ecstatic, but that doesn’t necessarily mean that things will go smoothly. There are several reasons why the deal might fall through and you might be forced to put your house back on the market.
The Buyer Has a Change of Heart
If your contract gives the buyer the option to withdraw for any reason, don’t celebrate until you reach closing day. The buyer may find a more desirable or more affordable property or have a change in personal circumstances.
Sometimes buyers get cold feet. The buyer may feel overwhelmed by the thought of paying for a mortgage, insurance, maintenance, and repairs, and may decide to buy a less expensive home or simply not to purchase right now.
It’s also possible that a buyer who wasn’t ready to make a decision and didn’t want to miss out submitted offers on multiple houses. Once the buyer decides which house to buy, he or she will have to withdraw from the other contracts.
The Buyer Can’t Get a Mortgage
Even if a buyer is prequalified, that doesn’t guarantee final approval for a mortgage. Sometimes buyers provide incomplete or inaccurate information when applying for pre-approval. After signing the contract, a buyer may experience a job loss or pay cut, or may take on more debt and no longer meet a lender’s guidelines.
The House Doesn’t Appraise for the Amount You Agreed On
A mortgage lender will require an appraisal before approving a home loan. If you and the buyer agree on a sale price, then the house appraises for less, which can make it difficult for the buyer to get a mortgage. The buyer may have to pay the difference in cash or may ask you to reduce the price. If you can’t reach an agreement, the deal can fall through.
The Inspection Reveals Serious Problems
A wise buyer will have your house inspected before proceeding with a purchase. While it’s normal for a home inspector to discover problems in any house, a major issue, such as a damaged foundation, a leaky roof, or an outdated electrical system, can make the buyer have second thoughts about buying the property.
You may be able to work something out. For instance, you may be willing to reduce the sale price or make repairs before the buyer moves in. If you can’t reach an agreement, or if the buyer doesn’t want to go through that additional hassle, the buyer may choose to simply walk away.
Curtis Covington
Broker
Windermere Real Estate/HLC
13901 NE 175th St, Suite 100 | Woodinville, WA 98072
Cell 206.255.2521