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🔍 US Cities With The Most Home Sale Cancellations

Home sale cancellations are surging across the U.S., revealing a new trend in the 2025 housing market: growing buyer hesitancy amid rising economic uncertainty. According to a new Redfin report, tens of thousands of deals are falling through as would-be homeowners navigate high mortgage rates, sticker shock, and shifting local market dynamics.

Related: Is the US heading Towards a Property market Crash and Debt Bubble in 2025

🌎 Why This Matters

While inventory is finally beginning to recover from pandemic-era lows, buyers aren’t necessarily in a stronger position. Mortgage rates remain elevated, recession concerns linger, and affordability continues to weigh on purchasing power.

“The economy is uncertain right now, and it’s causing buyers to get the jitters.”
— Daryl Fairweather, Redfin Chief Economist

For many, this means second-guessing their decisions or renegotiating deals after learning about unexpected insurance costs or financing hurdles. The result? A spike in failed transactions and a subtle shift in market power.

Related: Top US Housing Markets for First Time Investors in 2025

📈 Home Sale Cancellations by the Numbers (April 2025)

Nationwide:

56,000 canceled deals

14.3% of all pending sales (up from 13.5% YoY)
Leading Metro: Atlanta, GA

❌ 20% of sales fell through (up from 17.6%)

Investor activity may be playing a role in cancellations

Related: Top 10 US Counties for Single Family Home Investors

🔹 Top 10 Metros With the Highest Home Sale Cancellation Rates

“In Florida and Texas, rising insurance costs are giving buyers pause.”
— Daryl Fairweather, Redfin Chief Economist

Related: US Homebuyers are Using This Simple Trick to Save Thousands in Mortgage Interest

🌟 Cities With the Biggest Increase in Cancellation Rates (YoY)

These increases point to shifting buyer sentiment, even in some traditionally strong markets.

Related: Foreigners Win Big in US Housing Market

🏠 Markets With the Lowest Cancellation Rates

“Demand in more affordable Northeast metros has been stable.”
— Fairweather, Redfin

Related: The Top 10 Most and Least Affordable Housing Markets in the US in 2025

📉 What’s Next for Buyers and Sellers?

Buyers: Now have more negotiating power in many regions, especially where cancellations are rising. You may find discounts or concessions from discouraged sellers.

Sellers: Must navigate a more cautious buyer pool. Offering insurance quotes upfront or seller credits could help keep deals on track.

Market Outlook: While rising cancellations indicate market jitters, they also signal a shift toward a buyer’s market in many areas.

“Pent-up housing demand continues to grow, though not realized. Any meaningful decline in mortgage rates will help release this demand.”
— Lawrence Yun, Chief Economist, National Association of Realtors

Related: Growing Housing Affordability Gap Creating Golden Opportunity for Investors

📊 Final Thoughts

The rising trend of home sale cancellations reflects a housing market in transition. While affordability pressures and economic uncertainty are causing more deals to fall apart, this shift also presents opportunities for patient buyers. As inventory grows and competition cools, we could see a more balanced market take shape in the months ahead.

🔎 Stay informed, stay flexible—and be ready to act when the right opportunity comes along.

FREE DOWNLOAD: 10 Costly Mistakes Foreigners Make Buying U.S. Real Estate