BuyerSeller

October 22, 2025

According to a recent Redfin report, more than 56,000 home-purchase agreements fell apart in a single month — about 15% of all pending sales nationwide. That’s the highest August cancellation rate since tracking began in 2017.

So, what’s behind all these broken deals?

Buyer Confidence Is Shaky

Interest rates aren’t climbing, but they’re still higher than what buyers have been used to over the past decade. Combine that with inflation, affordability challenges, and an unpredictable economy, and many buyers are taking a cautious step back.

Top reasons deals are falling apart:

Tight monthly budgets after rate lock
Inspection or repair disputes
Buyers nervous about job security or finances
Difficulty selling their current home

Behind every one of those canceled contracts are Realtors who worked for free — roughly 100,000 agents nationwide who spent weeks negotiating, showing, and guiding clients through the process only to see it collapse before closing.

A Silver Lining for Buyers

The good news? For those still in the market, the shift has opened real opportunities. With fewer bidding wars and less competition, buyers have room to negotiate again — on price, closing costs, and repairs.

This is a moment for buyers to take advantage of a slower, more balanced market — and work with experienced agents who can spot the right opportunities before others do.

A Wake-Up Call for Sellers

For sellers, this trend is a reminder that pricing and presentation are everything. Homes that are priced correctly and well-maintained still move quickly — but those that “test the market” at inflated prices are sitting longer, leading to price cuts and frustrated buyers.

✅ Price strategically from day one.

✅ Handle repairs proactively.

✅ Make your home easy to love — clean, staged, and move-in ready.