Property sale collapse costs buyers and sellers £2bn a year, research reveals – The Intermediary
The Intermediary · https://theintermediary.co.uk/2026/06/property-sale-collapse-costs-buyers-and-sellers-2bn-a-year-research-reveals/
More than half of UK property sales fall through after an offer has been accepted, costing buyers and sellers billions of pounds every year, according to new analysis.
Research from the Open Property Data Association (OPDA) found that 58% of house sales collapse before completion, with the average failed transaction resulting in £2,830 of unrecoverable costs.
These expenses can include legal fees, surveys, mortgage costs and property searches.
Across the UK, failed transactions are estimated to cost around £2bn annually.
Cal Graham, property expert at We Buy Any Home, said many buyers and sellers underestimate how vulnerable a property transaction remains after an offer has been agreed.
Graham said: “Most people assume that once an offer has been accepted, the hard part is over. Unfortunately, that’s often when the risk begins.
“When a sale falls through, buyers and sellers can lose significant amounts of money as well as months of time and effort. For many people, it’s not just a financial blow – it’s an emotional one too.”
Mortgage issues remain one of the most common reasons for transactions collapsing, with industry data suggesting around one in five failed sales are linked to difficulties securing finance.
Graham said: “Mortgage affordability has become a much bigger issue in recent years. Buyers may receive an agreement in principle only to find circumstances change, affordability assessments tighten or mortgage valuations come back lower than expected.”
“Sometimes a survey uncovers structural problems, damp, roof issues or other defects that weren’t obvious when the offer was made.
“When unexpected repair costs emerge, buyers often renegotiate or walk away entirely.”
The research comes as the housing market continues to face affordability pressures, elevated borrowing costs and wider economic uncertainty.
According to Graham, these conditions are making buyers more cautious and increasing the likelihood of deals falling apart before completion: “In a more cautious market, buyers are naturally taking longer to make decisions and becoming more sensitive to issues uncovered during the process.
“That means sellers need to be realistic on pricing, transparent about potential issues and proactive wherever possible.
“The longer a transaction drags on, the greater the chance that something changes.
“Keeping momentum is often one of the best ways to get a sale over the line.”
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