Why Do Pending Home Sales Fall Through?

When your home goes under contract, it can feel like the hard part is over. But “pending” doesn’t mean guaranteed. Nationally, 7% of deals unravel before closing day. It’s no wonder then that sellers looking to avoid potential pitfalls often ask, “Why do pending home sales fall through?” We spoke with Jamie McMartin, a top-rated HomeLight Elite real estate agent in Texas with two decades of experience. She shares the top reasons a home sale may come to a halt, and how you can take proactive steps to cross the closing-day finish line. Did a Canceled Deal Spoil Your Own Selling Plans? Start making offers again without waiting to sell your home. HomeLight’s Buy Before You Sell program can unlock a portion of your equity upfront to put toward your next home. Make a strong offer with no home sale contingency. 1. Buyer can’t secure financing Even if a buyer is pre-approved, their loan can still be denied before closing. Lenders often re-check employment, income, and credit right up to the end. A job change, new debt, or unexpected financial setback can derail approval. McMartin remembers a period in 2025 when about 15% of pending home sales in the Houston area fell through, setting a rec...