The sale falling through can have big legal and financial consequences for sellers, and the onward chain you are in. If you are selling your property and have had a buyer pull out of the house sale, understanding the consequences, can help you navigate the situation effectively.

What are the biggest consequences of a buyer pulling out of a house sale?

Time lost and delay in selling process

When a prospective buyer pulls out, the whole process goes back to the beginning and a new search is needed to find a new buyer. Processes in marketing, administration, price negotiations will all have to start happening again, which can significantly delay the process for months. 

When people are faced with this issue, they consider other options such as auctions, where they can get a sale in 28 days, and keep their chain intact. Auctions also offer a very low buyer pull out rate of under 1%, due to the financial commitment required from the buyer at the initial stages. See if we can help you sell your property in this way and is auction is right for you here.

Money lost

Money lost can be a massive pushback and drain for people, especially if this money has been saved over some time for this purpose. You may have hired solicitors, property marketers as well as valuers and surveyors who will need paying for their time and work regardless.

A buyer pulling out will be especially difficult if you have already made plans as to what you are going to do with the proceeds of the sale e.g. purchase another property or pay off debts.

You can avoid losing money by choosing a property sales provider to sell your property for free. Be aware of some online estate agents who offer this for free, but then ask you to cover costs in relation to taking photos, marketing and viewings. Always make sure to read the small print.

You can save money by selling your property with us, here at Smart Auction UK. We are able to list and sell your property for free. With us, you will not be charged a penny for the sale. We are able to offer this for free as we charge the buyer the fees. If you have not sold via modern online auction before, don’t worry - check out our comprehensive process to sell, or get in touch with us below.

You can also save money by choosing a No Sale No Fee solicitor, who will be able to conduct the work for free, until you actually sell. Contact us and we will recommend one to you. Note: we do not get paid any commission by recommending a solicitor to you.

Breaking the chain

The buyer pulling out of a property sale can break the chain. The chain can be quite long, and up to 10 buyers and sellers. If you were in the middle of the chain and planning to purchase another property with the proceeds of the sale, then the buyer pulling out of your property sale will have been disappointing and frustrating, as you will be at risk of losing your new property too.

Emotional impact

Apart from the financial and operational issues to deal with when a buyer pulls out of a house sale, there are also emotional factors that can impact you as a seller. It can cause frustration, anger, disappointment and loss of hope. You may feel let down and anxious about finding a new buyer going forward.

Selling can be an emotional time, as you have invested time, money, efforts into the property, and a lot of great memories were made there, and a buyer pulling out can take a toll for this reason. Make sure to seek support from friends and loved ones at this time.

Reputation effects on sellers and estate agents

A buyer pulling out can have a negative impact on both sellers and the estate agents dealing with the property sale. There may be concerns raised about the seller or the property, or about the estate agents not being able to find serious and committed buyers. A buyer pulling out can also have an impact on the future marketing of the property – if the seller wants to sell it quickly after the buyer pulling out, they may have to lower the price.

Here at Smart Auction UK, we are dedicated to finding serious and committed buyers for our seller clients. As part of this commitment, we carefully vet and qualify each buyer, their ID, check for proof of funds and conduct money laundering checks.

Conclusion

It is important to be aware of the consequences of buyers pulling out of your property sale, so you can be best prepared and be able to navigate it smoothly and as best as you can. Knowing the consequences can also manifest ideas and solutions ahead of time to be ready should a buyer look to pull out of your property sale.

To find out how we can help with your property sale, by providing buyers that are serious and don’t back out due to the financial commitments we require from them, give us a call on 0330 223 6118 or get in touch below.