Has your buyer pulled out of a house sale? Don’t worry.
If you’ve agreed on a sale of your property, chances are you’re part of a property chain. This is common when buyers aren’t first-time buyers or investors. A property chain is when the buyer of your home needs the sale of their own to complete the purchase of yours.
This chain can have several links with different buyers and sellers who depend on each other to progress. If one link in the chain fails, it could cause the entire process to break down and your buyer to pull out.
In this article, we explore property chain breaks and the options available to you.
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Can a buyer pull out of a house sale?
If you’re selling your house and the buyer backs out at the last minute, you might be confused, wondering why they did it and if it was legal. The simple answer is, yes. The buyer can withdraw from the purchase of your property until the contracts are exchanged.
This is because, prior to exchanging contracts, the purchase of a property is not legally binding for either party. However, once the contracts have been exchanged, it becomes different as it is subject to the terms specified in the contract.
When does a buyer usually pull out of a property purchase?
When you accept an offer from a buyer on your property, as mentioned before, this doesn’t mean that the selling process is complete.
On average, there are several months between the offer being accepted and the property sale being completed, and during this time, there are various reasons why the buyer may pull out of the deal at any moment.
The most common time for a buyer to pull out is after the RICS survey. This is an exhaustive survey of the property, which will highlight any problems or potential issues.
If anything is flagged up in the survey, it may frighten the buyer, or they may try to reduce their offer, which causes the sale process to break down.
Another frequent time for a buyer to withdraw is at the mortgage approval stage. This usually happens a few weeks down the line and if the buyer’s finances are not in order and their application for a mortgage on your property is rejected.
Common Reason Why A Buyer pulls out Of Sale
When you are selling a house, you need to have the patience of a saint. House sale takes several months to conclude if it all goes well.
So, it’s not unusual for issues to arise that could cause a buyer to withdraw from the sale. If you can understand why they’re pulling out, sometimes there may be something you can do to address their worries.
Here are some of the main reasons why a buyer might decide not to purchase your property:
- The buyer’s chain could be broken,
- They could find another property,
- Their financial situation could change, such as a job loss or redundancy,
- Issues raised in the property survey could be a cause for concern.
Knowing the signs – being prepared
It can be frustrating, but you need to be prepared if you get the inclination that your buyer may back out.
Always look out for the tell-tale signs if they are proving to be unreliable. Have a plan B. Do you need a back-up buyer? If so, we can help.
Several re-negotiation discussions
It should raise a red flag if the buyer is renegotiating the purchase price constantly.
It is not unusual for buyers to want to renegotiate after a survey, but if it is happening regularly, it is likely that they are not prepared to pay close to the original price or do not have or cannot get the funds.
This could be an early indication that they are either seeking a substantial reduction or are about to pull out of the purchase entirely.
Slow to reach the milestones
There are several steps to go through when purchasing a property. These can include verifying identity with estate agents, appointing solicitors, arranging a survey, and having a mortgage to buy the property.
If a buyer is consistently slow at reaching these milestones, it can be a sign that they are not fully committed or that they could miss deadlines and delay the whole process.
Hard to get a hold of
Effective communication is vital throughout the process of a house changing ownership. Another indication of hesitance can be when it is difficult to contact the buyer.
To ensure the process proceeds smoothly, sellers and buyers need to maintain an open line of dialogue. As a best practice, some estate agents set up a WhatsApp group to keep all parties informed throughout the process.
If your buyer is difficult to get hold of, then they are not motivated.
What can you do when your buyer pulls out?
You’ve been told that your buyer is withdrawing, so what can you do to prevent this from happening?
Unfortunately, if your buyer had made up their mind, it would be difficult to persuade them. It is out of your control. But you can sell your home to a cash buyer such as Property Saviour.
We can buy your home with certainty and speed to ensure your onward purchase isn’t affected.
Can You Stop The Buyer from Pulling out?
The first question to ask yourself is: can you stop the buyer from pulling out? This is closely followed by: is it worth it? Sometimes, a simple conversation with the buyer can be enough to prevent them from withdrawing their offer. More often than not, they want to renegotiate the price.
It may be worth considering accepting a slightly lower price, especially if you have already spent money on solicitors and incurred other costs. You must also understand that sometimes it is not worth going out of your way for the buyer.
If you cannot come to an agreement, don’t panic.
Your options
Not all hope is lost. In a seller’s market, it can take up to six months for a property to go under offer and another three months in conveyancing process.
There are options available to you:
Put Your House Back Up For Sale
If you want to sell the property, the most obvious choice is to put your house back up for sale.
But before you do that, reflect on the performance of your estate agent. How did they perform under pressure? Did they act in your best interests or theirs? More than 50% of sellers change estate agent during a sale so you might want to see how good other estate agents are.
To get your property under offer quickly, it’s best to price the house competitively. Have a look at properties with similar features and try to set a lower price than them.
Contact previously interested parties
If you were fortunate enough to have a bidding war on your first agreed sale, it might be worth asking your estate agent to approach any interested parties to see if they would still be interested in the property they almost missed out on.
Contact a cash property buyer
Another option is to reach out to cash house-buying companies like ours.
We can’t provide market value, but if you’re willing to accept a lower offer, we could be the perfect solution. We can buy your house in just 10 days, with no chain.
Should I cancel my onward purchase?
Losing a buyer can be devastating. You have a choice. Do you go through all the trauma of selling again, or would you rather sell for cash & achieve a seamless sale?
You don’t want to miss out if you have found your forever home.
If your seller is motivated, you can use your cash buyer position to achieve a better purchase price. We’ll show you how if you like.
What To Do If Your House Buyer Pulls Out?
Selling your home can be stressful, and a buyer pulling out of a house sale can make your position even harder. Reduce the risk of your property chain collapsing and get a cash offer from Property Saviour.
Sellers trusts us. You are welcome to use your own solicitors. We’ll pay £1,500 towards your legal fees, too.
No need to worry about market fluctuations. Property Saviour can provide a quick and secure sale. Get in touch with us today.
Property Saviour Price Promise
- The price we’ll offer is the price that you will receive with no hidden deductions.
- Be careful with ‘cash buyers’ who require a valuation needed for a mortgage or bridging loan.
- These valuations or surveys result in delays and price reductions later on.
- We are cash buyers. There are no surveys.
- We always provide proof of funds with every formal offer issued.
We'll Pay £1,500 Towards Your Legal Fees
- No long exclusivity agreement to sign because we are the buyers.
- You are welcome to use your own solicitor.
- If you don’t have one, we can ask our solicitors for recommendations.
- We share our solicitor’s details and issue a Memorandum of Sale.
Sell With Certainty & Speed
- Our approach is transparent and ethical, which is why sellers trust us.
- 100% Discretion guaranteed.
- If you have another buyer, you can put us in a contracts race to see who completes first.
- Complete in 10 days or at a timescale that works for you. You are in control.
