Sellers Left At The Altar As Buyers Cancel

Sellers Left At The Altar As Buyers Cancel

Investor · Fort Lauderdale, FL · Member since 2013 · 917 posts · 607 votes

A new report highlights a growing trend: homebuyers backing out of contracts at elevated rates. (Link in comments below).  In some metros, cancellations are running above 9–10%, including:  Atlanta, Las Vegas, San Antonio, Riverside, and Phoenix.  
When a buyer cancels, the seller doesn’t just “go back on the market.”  They lose time.  They lose negotiating leverage.  And sometimes, they lose their next purchase.  Many of these homeowners become what I call accidental/reluctant landlords.  The property doesn’t sell.  Payments still exist.  Insurance, taxes, maintenance. . .all still ticking.  Now, they’re far more open to alternatives they would have rejected 3 or 4 months ago.  This is exactly where creative investing strategies outperform conventional approaches.  
𝐂𝐨𝐨𝐩𝐞𝐫𝐚𝐭𝐢𝐯𝐞 𝐚𝐬𝐬𝐢𝐠𝐧𝐦𝐞𝐧𝐭𝐬
𝐋𝐞𝐚𝐬𝐞 𝐨𝐩𝐭𝐢𝐨𝐧𝐬
𝐒𝐭𝐫𝐮𝐜𝐭𝐮𝐫𝐞𝐝 𝐫𝐞𝐧𝐭-𝐭𝐨-𝐨𝐰𝐧 𝐬𝐨𝐥𝐮𝐭𝐢𝐨𝐧𝐬
When retail demand softens and buyers hesitate, creativity becomes a competitive advantage.  Many investors and buyers don’t know how to structure these deals. Most agents don’t know how to present them.  Most sellers don’t realize they’re even an option.  That knowledge gap is where opportunity lives.  The investors who understand how to work 𝐰𝐢𝐭𝐡 sellers, 𝐜𝐨𝐨𝐩𝐞𝐫𝐚𝐭𝐞 with sellers, not against them, are the ones who will close deals in this cycle.  

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  • Investor · Fort Lauderdale, FL · Member since 2013 · 917 posts · 607 votes
    7mo
  • Investor · Las Vegas, NV · Member since 2013 · 8k+ posts · 10k+ votes
    7mo

    I suppose there’s no way to know what percent were wholesalers and not really buyers.  I know at least one state involves non-refundable deposits to put a property under contract.  I’d certainly consider lowering my asking price by $5k in exchange for $5k non-refundable deposit.  And I would 100% take an offer with a few thousand dollar non-refundable deposit over a slightly higher offer I thought was flakey. (For anyone that still thinks they can’t get an offer accepted.)

    I’ve only soldered few houses but I’m happy I’ve never had a buyer even threaten to pull out. I give to the condition of the house and my realtor screening the buyers/offers. 

  • Member since 2026 · 4 posts · 4 votes
    7mo

    Bill, I am sure there are many creative ways to help maintain the sale or purchase and your suggestion of lowering the price is a good one. I can usually gauge if someone will back out by the enthusiasm exhibited during a walk through. I like to handle any objections upfront rather than allow them to fester and give them a reason to walk away. 

    David

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