Almost a third of property sales in England and Wales fell through before completion in the first quarter of this year, new data from property buying company Quick Move Now reveals.
According to the figures, 32% of property sales failed to complete in the last quarter, which is 15% higher than the unusually low quarterly fall-through rate seen in the last quarter of 2020. However, the level of fall-throughs recorded in Q1 2021 is down 11% year-on-year, with the fall-through rate in Q1 2020 reaching 43% as the pandemic emerged.
The research found that 8% of all property sales failed to go ahead because the buyer struggled to secure a mortgage. This made up a quarter of all failed property sales. Of the sales that failed to complete, a further 37.5% were attributed to the buyer changing their mind or unsuccessfully trying to renegotiate a lower purchase price.
There was also a return of gazumping in the first quarter of this year, with 25% of failed sales being attributed to the seller accepting a higher offer from a new buyer.
Danny Luke, Quick Move Now’s managing director, commented: “It’s hugely positive that the fall through rate has dropped from the high annual rate we saw last year.”