In today’s housing market, a surprising trend is emerging: contract cancellation rates are at their highest level in years, and the number one reason deals fall apart is the home inspection.
But here’s the part no one talks about…
It’s rarely just about the inspection items themselves.
Yes, reports are long. Yes, older homes have issues. And yes, sometimes repairs truly need to be addressed. But more often than not, buyers are reacting to something bigger than the house: their psychology.
Buyers are carrying the weight of high interest rates, economic uncertainty, affordability pressure, media headlines, and a persistent fear of “making a mistake.” When they receive an inspection report, even a list of minor items can feel overwhelming. Small issues seem major. Major issues feel catastrophic.
This is why sellers must approach inspection negotiations with perspective.
The inspection is one moment — the psychology behind it is the real negotiation.
The question becomes:
Do we want to risk losing the deal entirely and start over?
Or
Do we want to make smart, strategic decisions that align with our long-term goals?
That doesn’t mean “give the buyer everything.” In fact, it often means holding firm where it makes sense—but also recognizing where compromise is smarter than restarting the entire sales process.
True negotiating power comes from clarity:
• What’s reasonable?
• What’s strategic?
• Where do we have leverage—and where don’t we?
• And what decision keeps your goals front and center?
As you’ll see in the video, the inspection is only the surface-level story. The real story is understanding the environment buyers are reacting to, and navigating negotiations with strategy instead of emotion.
Smart sellers win not by being stubborn, but by being strategic.
And in this market, that mindset can make the difference between staying under contract… and starting from zero all over again.
