How Often Do Contingent Offers Fall Through?

Having an offer accepted on a home is a major milestone, but it doesn’t always mean the sale is guaranteed to close. Before the keys are handed over, buyers and sellers still have to navigate inspections, financing, appraisals, and other conditions that can affect whether a deal moves forward. These conditions, known as contingencies, are designed to protect buyers and sellers during the homebuying process. But when a contingency isn’t met – or another issue comes up – a home purchase can fall through. So how often do contingent offers actually fall apart? The answer depends on the market and the circumstances behind the cancellation. Understanding the most common reasons deals fail can help buyers and sellers know what to expect and how to avoid surprises. What is a contingent offer? A contingent offer is a purchase agreement that moves forward only if specific conditions – known as contingencies – are satisfied. Think of contingencies as protections that allow buyers to complete important due diligence before finalizing a purchase. Depending on the terms of the contract, a contingency may allow a buyer to cancel the agreement and recover their earnest money deposit if certain con...