One in Three transactions collapse before completion

One in Three transactions collapse before completion

New research has revealed that a third of UK buyers who had their offer accepted saw the transaction fall through prior to completion.

According to a Market Financial Solutions Survey, the likelihood of a sale collapsing is regionally dependent; for example, whilst just 15% of sales fall through in Scotland, London saw 61% fail.

The research also revealed that the most common reason for a collapse at 41%, was a breakdown within the chain, with mortgage delays in second place at 33%.

On average, each failed purchase costs a buyer around £2,899 in surveyor and solicitor fees, with the company stating that over the past decade, up to £10.7 billion has been lost in fees.

The survey follows the Government’s suggestion earlier this year to implement reservation agreements on a pilot basis in order to reduce the proportion of transactions which fall through.  In their response to their ‘Call For Evidence – Improving the Home Buying and Selling Process’, reducing failed transactions was outlined as one of the key objectives, alongside reducing the time from offer to completion, and providing a better consumer experience.

Georgia Owen

Georgia is the Content Executive and will be your primary contact when submitting your latest news. While studying for an LLB at the University of Liverpool, Georgia gained experience working within retail, as well as social media management. She later went on to work for a local newspaper, before starting at Today’s Conveyancer.

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