Greycoat Real Estate: When Buyers Back Out Of Their Home Purchase, It Causes A Ripple Effect
Greycoat Real Estate reveals that one-third of purchases are not being completed. There are several reasons, according to the real estate agency. The first one is buyer confidence. Interest rates are causing much angst among buyers.
The chance that interest rates will fall is causing future buyers to change their minds when choosing a home. As Greycoat specialists comment, why purchase a smaller house now, when they can afford a larger house in a few months?
Higher interest rates are stretching an already thin budget, says Greycoat Real Estate. To help counteract the higher rates, buyers are trying to renegotiate sales. Usually, the buyer is unsuccessful and ends up dropping out of the sale.
There is a small chance buyers will return to the market, reveals Greycoat Real Estate. If The Bank of England lowers the base rate sometime this summer, it could help to change things around for buyers and sellers. Buyers will slowly become more confident in the system. Sellers and buyers could rest a little easier knowing they will get the best deal.
Greycoat Real Estate explains that the buyer and seller are not the only ones hurt when a deal falls through. Real estate also loses both time and money. Not only do they lose their commission, but now they need to go through the process of relisting the property and start the interview process again. Backing out of a house agreement is a problem for all parties involved.