Almost a third of all property purchases fall through

Nearly a third of all property purchases fall through, with the seller changing their mind being the most common reason, a new study has revealed.

According to Which? Mortgage Advisers, three in 10 (28%) homebuyers have had a house purchase fall through after their offer was accepted, leaving them nearly £3,000 out of pocket.

The survey found that 27% of all sales fall through because the seller decides not to sell their home after all. This is followed by buyers pulling out because their own sale has fallen through or because they have found somewhere else to buy (both at 21%).

Gazumping is also major problem for buyers, with 21% of sales falling through as a result.

The average loss was £2,899, which includes the loss of conveyancing, survey, and mortgage valuation fees.

David Blake at Which? Mortgage Advisers said: “No one wants to see their dream property slip through their fingers, particularly if it leaves you out of pocket, but there are steps you can take to ensure you are in the best possible position.

“The best way to protect yourself from your purchase falling through is to avoid a lengthy chain. With the right preparation and research, including getting your finances in order prior to making an offer, you can avoid complicated chains and improve your chances of success.”

Buying a house can be a very stressful time for homebuyers and many experience failed transactions as a result of the property chain breaking down.

Which? Mortgage Advisers has these top tips to help buyers avoid long or complicated chains:

-It’s worth considering selling your property and moving into short-term rented accommodation or with family or friends. You’ll then be a chain-free cash buyer, which you can use to your advantage when making an offer as you’ll be much more appealing to the vendor.

-If you’re buying and can afford to be picky, look for properties where the upward chain is short or, even better, non-existent – for example if the vendor owns it as a second home and doesn’t need to find somewhere else to live.

-New-build homes have no upward chains for obvious reasons – and if you’ve got a property to sell, the developer may offer part-exchange, meaning they’ll buy your old property to help speed things up.

-If you’re in a hurry, try and get the vendor of the property you’re buying to agree to a date by which they are prepared to move out, whether they’ve bought somewhere themselves or not. Vendors will sometimes agree to move into rented accommodation to avoid risking the deal falling through.