The number of house sales failing to successfully complete fell in the first quarter of 2016, with just one in five falling through, according to data released by QuickMoveNow.
The bulk-purchasing quick sale company monitors transactions across the market and says there was a fall-through rate of 20 per cent in the first quarter of this year, a substantial drop on the 27.94 per cent recorded in the last quarter of 2015.
However, the full-year fall-through rate over the second, third and fourth quarters of 2015 and the first quarter of this year is higher at 29.07 per cent.
The two biggest reasons why house sales didn’t complete in the first quarter of 2016 were the vendor pulling out of the sale for a higher offer (25 per cent) and either vendor or buyer pulling out because they felt the sale wasn’t progressing quickly enough (another 25 per cent).
“With many areas experiencing very strong demand and low supply, vendors are keen to achieve the best possible price for their property so are willing to pull out of an agreed sale if made a better offer” says Danny Luke, business manager at Quick Move Now.
Other reasons for fall-throughs included the buyer changing their mind (18.75 per cent), the buyer being refused lending by a mortgage provider (12.5 per cent), general chain collapse (6.25 per cent), survey issues (6.25 per cent) and because the buyer tried to renegotiate after the initial offer had been accepted (6.25 per cent).