Property fall-throughs rise as cost of failed sales climbs
Property fall-throughs rise as cost of failed sales climbs

Estate agents are seeing more agreed sales collapse before completion, putting potential commission income at risk. An estimated 71,959 property transactions fell through in the second quarter of 2026, according to House Buyer Bureau analysis of TwentyCi data.

Fall-throughs increased by 6.6% compared with the previous quarter. For agents, a collapsed transaction can mean losing commission after weeks or months of work. It can also mean remarketing the property and rebuilding a chain.

However, the number of failed transactions remains below last year's level. Fall-throughs were 8.7% lower than in Q2 2025.

Agents count the cost of collapsed sales

House Buyer Bureau estimates that fall-throughs cost buyers and sellers £257.9m during the quarter. That was up from £239.7m in the first three months of 2026. The increase amounts to more than £18m.

The average cost of a failed transaction also increased to £3,584. That was 0.9% higher than in Q1 and 2.8% above last year's level.

The figures do not calculate how much estate agency commission was lost because of the 71,959 collapsed transactions. However, many traditional agents receive their sales fee on completion. A fall-through can therefore mean lost or delayed income for the agency. It can also create more work. Agents may have to remarket the property, restart negotiations and rebuild chains without any guarantee of a subsequent completion.

Industry reaction

Chris Hodgkinson, managing director of House Buyer Bureau, said: “It's disappointing to see the number of collapsed transactions increase again during the second quarter of 2026, resulting in financial losses and stress for tens or thousands of homebuyers and sellers.

“While fall-through volumes remain notably lower than they were this time last year, the latest increase highlights just how fragile the process of buying and selling a home can remain. The fact that the average cost of a failed sale has also continued to rise means that every collapse carries a significant financial consequence for those involved.

“For sellers in particular, a fall-through can mean wasted time, additional costs and the uncertainty of having to put their property back on the market, often after they have already made plans based on their sale completing.

“The good news is that the number of fall-throughs remains below last year's levels, but the latest figures demonstrate that there is still considerable scope to improve certainty within the transaction process. With affordability pressures, changing buyer circumstances, and wider economic uncertainty continuing to influence the market, reducing the risk of a sale collapsing should remain a priority for both homeowners and the industry as a whole.”