Real estate agents are reporting a growing number of prospective buyers backing out of home sales, reflecting the challenges faced by sellers in the 2025 market.
According to HomeLight’s newly released “Top Agents Insight Report,” 62 percent of the country’s leading real estate agents said they had witnessed an uptick in sales falling through compared to the same period last year, with 22 percent saying that “significantly more” buyers are pulling out of purchases at the last minute.
Among the reasons for the deals falling apart, agents cited inspection issues, financing difficulties, as well as a significant number who got “cold feet.”
Why It Matters
Economic concerns and long-term affordability issues have continued to weigh on housing demand in 2025, troubling sellers and transforming much of the country into a “buyers’ market.” While falling mortgage rates are expected to stimulate some activity, and the recent jump in new home sales has been seen as a potential sign of recovery, experts believe it could be years before the housing market returns to pre-pandemic norms.
What To Know
HomeLight’s report drew on survey responses from nearly 900 of America’s top real estate agents, collected in early September. Among the reasons for home sales falling through, 27 percent cited home inspections uncovering major problems with the property, 21 percent blamed it on buyer financing falling through, while 20 percent said it was due to buyers changing their minds.
Homes now spend around 47 to 62 days on the market, HomeLight said, the slowest pace of selling in a decade and well above the average of 16 in 2021.
According to 77 percent of agents, overpricing is the main reason why homes sit unsold for extended periods of time, and 50 percent recommend that sellers price slightly below market value in order to increase the chances of a sale and multiple offers.
Reflecting this advice, 82 percent of surveyed agents reported an increase in price cuts in the second quarter of 2025 compared to a year prior.
What People Are Saying
Melanie Thomas, a real estate agent in Orlando, Florida, said: “A seller in today’s market has to be savvy enough to know that buyers feel empowered and ready to negotiate. The days when you could assume multiple offers over the asking price are long over. The only homes that will sell with short days on market are the ones that are priced correctly from the start.”
What Happens Next?
According to HomeLight’s survey, real estate agents believe many buyers may be holding off on closing deals until interest rates drop, and have pointed to 5.75 percent as the ideal level that could encourage an increase in sales.
“If there is an interest rate drop to 5.75 percent or lower, I believe that we will see a very, very swift increase in buyer activity and buyer motivation to purchase,” said one Tampa Bay area agent. “The current inventory will start to contract very quickly, and the demand will be so great that it will reduce buyers’ negotiating opportunities much quicker than most will be ready to accept.”
