Can a Buyer Change Their Mind?

The system of property transfer in England and Wales remains, frankly, a little archaic. One of the biggest differences between our process and that of many other countries is the lack of binding contracts at the point when an offer is accepted.

This presents a major issue: it allows both buyers and sellers to withdraw from an agreed sale without notice, compensation, or even a reason.  A simple change of heart, or circumstance can unravel everything.

A buyer might change jobs, experience a bereavement, come into (or lose) money, or receive a worrying health diagnosis. They may not get the mortgage deal they hoped for, or they might simply find another property they prefer. While it may feel unethical to back out of an agreement, it’s not uncommon. In fact, around 25% of agreed sales never make it to exchange of contracts , where the deal finally becomes binding. (By contrast, it’s very rare for a sale to fall through after exchange.)

Fortunately, our own fall-through rate is significantly lower than the national average. Why? Because we advise our clients to take proactive steps to keep their sale on track, most importantly, by moving quickly.  The less time a buyer has to change their mind, the less chance they will.

Here are some essential tips to help make your sale stick:

1. Get Your Legals Sorted Early

As soon as you instruct your estate agent, you should also instruct a conveyancing solicitor. Preparing a legal pack takes time, and you may need to locate various documents that could cause delays if not readily available. If we found you a buyer tomorrow, would your solicitor be ready to act just as quickly?

2. Understand Your Buyer

Before accepting or negotiating an offer, get a clear picture of the buyer’s financial situation.

A buyer relying on a high loan-to-value mortgage is usually in a more precarious position than a cash buyer. And when someone claims to be a “cash buyer”, check what that really means – is the money already in their account, or is it tied up in the sale of a business or inheritance? If inheritance is involved, has probate actually been granted?

If the buyer has a property to sell, is it already under offer? If so, get confirmation. Remember, by accepting their offer, you may be linking your sale to theirs and any issues in their chain can affect your timeline.

3. Be Transparent

It’s always better to be open about potential issues. If something might influence a buyer’s decision to proceed and they only find out later it could put your sale at serious risk.  In fact, under the Material Information Guidelines, sellers are now legally required to disclose anything that could influence a buyer’s decision not only to purchase, but even to view the property.

4. Be Flexible

Sales don’t always go to plan. The buyer’s timing may shift, or a survey might uncover unexpected issues. Being reasonable and willing to compromise, even contributing financially if necessary can often save a sale.  We’ll advise you carefully if these situations arise.

5. Be Cool-Headed

It’s tempting to accept an offer immediately, especially in a fast-moving market.  But take a moment.  Do the numbers and the timing work for you?  Do you have some flexibility if plans change?  Rushing into a deal could corner you later and add to the already stressful process of moving.

6. Be Quick

Respond to your agent or solicitor as soon as possible. Speed is crucial, even a day’s delay could be the day your buyer starts to get cold feet.

Finally… Don’t Panic

Falling through is a risk, but it’s one we know how to manage.  We pride ourselves on holding sales together for our fabulous clients.  Most of our agreed sales reach exchange and completion without major issues.

Correction: there are always issues. But we’re pretty good at solving them.

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