House sale fall through index – March 2012

Quick Move Now provides one-of-its-kind data to property analysts to help with assessment of the housing market.

The house sale fall through rate for March 2012 was 30.03%, so just over one in three house sales did not result in completion. The chance of a sale falling through has remained similar since January 2009 and there is a correlation between the state of the property and mortgage markets and the level of sales that falter.

Donna Houguez, Market Analyst for Quick Move Now, comments:

The fall through rate in March 2006 at the peak of the market was 13.60%, compared to 30.03% in March 2012; the chance of a house sale falling through is currently more than double what it was in the same month six years ago, which shows just how difficult it has become to retain a buyer until completion. It is unlikely that the market will recover to the more manageable 2006 levels in the near future.

The longer the chain of people involved in a house sale, the higher the chance of fall through. Even if a vendor’s direct buyer is in a strong position for exchange and completion, the financial situation of other buyers further down the chain can cause problems.

Data Calculation:
Quick Move Now sells hundreds of properties each year and the fall through statistics are calculated month-on-month using a six-month average. In reality, the fall through rate for homeowners would be approximately 10 – 15% higher as Quick Move Now has a professional resale team proactively managing the completion process.

This content was written by Quick Move Now
Published on 18th April 2012
Last updated on 20th April 2017


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