Why Are So Many Real Estate Deals Falling Apart?


It's been hard enough just to find a buyer for your house. Now the challenge is to drag them across the finish line. Only two-thirds of opened escrows close on time and 16 percent of the deals fall apart without closing.

Of agents polled in June by the National Association of Realtors, one in six reported having a deal fall apart the previous month before it closed escrow. Previously, the number was one in 25.

Why the uptick? Buyers' remorse is cited among the top reasons, often disguised as displeasure with items that turn up in the inspections. Things that buyers would have overlooked in years or months past are now deal-busters, agents say. Bad economic news at the beginning of the month may have caused some buyer jitters, said the agents polled.