Why So Many DFW Real Estate Contracts Are Falling Through — And How to Protect Yourself

By Frank Capovilla | Coldwell Banker Global Luxury – DFW

DFW currently ranks among the top U.S. markets for canceled contracts. Nearly 1 in 5 pending home sales fail to close. But why? And what can buyers and sellers do to protect themselves?

Why Contracts Are Canceling

1. Buyers Are More Cautious

With more inventory to choose from, buyers won’t hesitate to walk away if they see red flags.

2. Inspection Surprises

Older roof? Foundation issue? Outdated HVAC? These can scare buyers quickly.

3. Appraisal Gaps

If the home doesn’t appraise for the contract price, it creates friction and renegotiation.

4. Financing Challenges

Higher rates or tighter underwriting conditions are causing more loans to fall through.

How Buyers Can Protect Themselves

• Get fully underwritten (not just pre-approved).

• Attend inspections with a professional mindset, not emotion.

• Understand what repairs are typical for the home’s age.

How Sellers Can Reduce Their Risk

• Get a pre-listing inspection.

• Make targeted repairs upfront.

• Price with both comps and appraisal reality in mind.