Sometimes your attempt to sell your home has a few false starts. Buyers that seem like promising prospects end up having to pull out or stop short for one reason or another. If you see this happening a lot with your potential sales, here are a few probable causes. Why do house sales fall through?
Failure To Qualify For Financing
This is probably the most common reason why a lot of house sales fall through. You have a buyer that’s interested in your home, but when the time comes for them to get a loan, they are denied due to lack of income, bad credit history, or something similar. Without the loan, they can’t buy the house. In some cases, this is an innocent and honest mistake, stemming from a lack of understanding about how finances work. Ultimately, the only real guesswork you can do is looking at the potential buyer’s social media for anything leading. If they are making large purchases and you know their job isn’t high income, they may have debt too high to finance a home.
An inspection is designed to help buyers know the true state of the house that they are looking at. If it passes the inspection, they know they won’t have to do any additional upkeep outside of the norm. However, if they see a lot of issues, they may turn away. Make sure you’ve done some repairs and upkeep on your own to make your house have a broader appeal.
This tends to happen when demand is high. If a bidding war breaks out and the home’s value is way above it’s appraised value, the lender for a buyer may not be willing to finance that much. The buyer can pay the difference outright, but more likely, they will look elsewhere.
This last point is frustrating on your end, but can still happen. Many people think they want to take the transition from renting to homeownership, but aren’t ready to make the plunge. In order to avoid wasting your time, you may want to ask a few questions about their search so far. This is just making conversation, but you can also see how serious and researched their house search is. The longer they are invested, the less likely they will switch gears.
In some cases, a house sale can not work out due to reasons outside of your control. In others, it boils down to not having enough expertise to manage a smooth transaction. Experts help can make it easier to address certain issues before they spiral out of control, which is why you want to work with the top realtor in Victoria, BC. If you are interested in seeing real estate listings in Victoria or are looking to sell your home we have everything you need!
By making sure you follow all the proper regulations and only appeal to buyers that are likely to purchase, this will create better odds of success. If you want to start, reach out to our team today.