Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Collapsed House Sales Cost UK Economy £2bn Annually, OPDA Reports

Research from the Open Property Data Association (OPDA) has found that failed house sales in the UK waste nearly £2bn each year in time, productivity, and fees. The study highlights that more than half of house sales—56%—fall through after an offer is made.

According to OPDA, the average cost to buyers and sellers for each collapsed transaction is around £2,830, covering direct expenses such as legal fees, surveys, and mortgage costs, as well as lost time and productivity. The total estimated annual cost to the UK economy is £1.97bn.

The OPDA’s analysis of 5,000 recent homemovers revealed that the average time lost on each failed transaction is about three months. Additionally, one in six transactions collapsed after four months, and one in ten fell through after five months or more.

The research also found that the impact of a collapsed sale extends beyond financial loss. Of those surveyed, 43% of buyers and sellers reported experiencing emotional stress due to a failed sale, and 41% said their plans were significantly delayed. Older homeowners aged 55 and over were particularly affected, with 59% reporting emotional stress.

For letting agents and inventory clerks, these findings underline the importance of transparency and timely information in property transactions. The OPDA suggests that providing upfront, standardised property data through digital property packs could help reduce the number of failed transactions and improve the overall process for all parties involved.