1 in 7 Pending Home Sales are Getting Canceled

Across the U.S., home purchase cancellations are on the rise, with cities like Atlanta, Las Vegas, and Houston seeing a significant number of deals fall through. In January alone, over 41,000 home purchase agreements were canceled, the highest rate for this time of year since 2017, according to Redfin. The trend is driven by rising housing inventory, economic uncertainty, and affordability challenges, leading some buyers to back out in favor of better opportunities.

While Arizona isn't seeing the highest cancellation rates, the local market is still feeling the effects. Phoenix, for example, saw 15.4% of pending sales fall through, up from 14.3% last year. Buyers now have more leverage, which means sellers need to be strategic in pricing and negotiations. For homeowners looking to sell, this means being prepared for potential contract cancellations and ensuring their home is priced competitively to attract serious buyers.

At the same time, buyers in Arizona may find new opportunities in homes that return to the market after a deal falls through. Keeping an eye on these listings and acting quickly can be an advantage. Mortgage rates remain a key factor in home affordability, and while they are still elevated, slight recent declines may encourage more buyers to move forward with their purchases.

If you’re considering buying or selling, now is the time to stay informed and work with an experienced mortgage professional. Whether you’re looking for pre-qualification, refinancing options, or strategies to navigate this shifting market, I’m here to help. Reach out today to discuss your options and make the most of today’s housing landscape!