The Hidden Reason Many Home Sales Fall Apart (And How Sellers Can Avoid It)
Selling a home can be exciting, but it can also come with surprises. One trend making headlines recently is that more buyers are backing out of home purchase contracts, reaching levels not seen since 2017 in some markets.
That statistic can sound alarming for sellers, but there’s an important detail behind many of these cancelled deals. In most cases, there is one common reason buyers walk away, and it’s something sellers can often address before listing their home.
Understanding this issue early can help you avoid losing a potential sale.
The Most Common Dealbreaker: Home Inspection Issues
Redfin Survey Results on Reasons why deals fall out of contract
According to a survey from Redfin, over 70% of recently cancelled home purchase contracts were tied to issues discovered during the home inspection.
This makes sense in today’s market. Buyers now have more choices than they did a few years ago, which means they can be more selective when evaluating homes.
If an inspection reveals unexpected problems or costly repairs, buyers may decide the risk isn’t worth it and walk away from the deal entirely.
Why Repairs Matter More in Today’s Housing Market
During the housing boom of recent years, many buyers were willing to overlook certain issues because inventory was limited and competition was intense.
Today’s market is different.
With more homes available, buyers can compare properties more carefully. If a house appears outdated, poorly maintained, or potentially expensive to repair, buyers may move on to another option. That’s why addressing key maintenance concerns before listing can make a major difference in attracting and keeping serious buyers.
The Issues Buyers Care About Most
While every home is different, there are several types of problems that tend to raise concerns during inspections.
According to housing data from Zillow, some of the issues buyers watch most closely include:
Roof damage or leaks
Plumbing problems, including leaks or water damage
Electrical concerns, such as outdated wiring
HVAC systems that are not functioning properly
Pest or termite damage
Hazardous materials, including mold, lead, or asbestos
Safety and code violations, such as missing smoke detectors
Structural problems, including foundation cracks or sagging floors
Not every home will have these issues. In many cases, only one or two items may need attention. But identifying them early can prevent surprises during the buyer’s inspection.
How a Real Estate Agent Helps You Stay Ahead
One of the most valuable steps a seller can take is working closely with an experienced real estate agent before listing the property.
A local agent can walk through the home and identify areas that may raise concerns for buyers. Because they understand current market expectations, they can also recommend which repairs are worth addressing and which ones may not significantly impact the sale.
This guidance helps sellers focus on improvements that actually strengthen their listing rather than spending money on unnecessary upgrades.
The Benefits of a Pre-Listing Inspection
Some sellers also choose to conduct a pre-listing inspection before putting their home on the market. This type of inspection gives sellers an early look at the same issues a buyer’s inspector might identify later.
With that information, sellers can:
Fix certain issues before listing the home
Disclose potential concerns upfront
Avoid last-minute negotiations or delays
Prevent unexpected repair requests during closing
A pre-listing inspection can also help reduce uncertainty for buyers, which may make them feel more confident about submitting an offer.
Being Proactive Can Help Protect Your Sale
Inspection issues are often less about cosmetic problems and more about buyer confidence. When buyers begin to question whether a home may have hidden problems, they may lose interest quickly.
By addressing important repairs early and being transparent about the condition of the home, sellers can build trust and reduce the risk of deals falling apart later in the process.
Talk to Our Team About Preparing Your Home for Sale
If you're planning to sell your home, preparing ahead of time can make a major difference in attracting serious buyers and avoiding contract cancellations.
Contact our team today to discuss how to position your home for success, identify potential inspection concerns, and develop a strategy that helps your listing stand out in today’s market.
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Ranked among the top 1% of real estate teams in the Chicagoland market, Cory Tanzer and the Cory Tanzer Group are experts in helping buyers and sellers navigate today’s market across Downtown Chicago, the North Shore, and the Western Suburbs. Recognized for their neighborhood expertise in areas such as University Village, University Commons, South Loop, and Pilsen, the team helps clients stay one step ahead by understanding where the Chicago market is headed next.
