Results aren't guaranteed, they're earned
Price, also known as Jordan, said she was "gutted" at having to decline the invitation due to work commitments.
However, the 30 year old said she hopes to be able to accept a separate offer from the Princess Royal to visit her home, Gatcombe Park in Gloucestershire, to take tea and watch polo.
The proposed royal engagements stand in contrast to the episode a year ago when Price was barred from the Cartier International Polo contest at Windsor because she was deemed "too chavvy" bracelet cartier love occasion.
Price said she was unable to attend the lunch at Buckingham Palace because she is working in the US with her husband Peter Andre filming a reality television series.
She told Love It! magazine: "We were invited to lunch at Buckingham Palace but we couldn't go because we were in America. I was gutted."
The mother of three said the Princess Royal's offer came about due to their mutual interest in horses cartier love bracelet knock off, and that she was keen to take her daughter, Princess, with her.
Price said: "Princess Anne knows how much I love horses and has invited me to her house to watch Polo cartier love bracelet fake. I'll definitely go for lunch with her, so my Princess can meet a real life princess."
Price has been riding since she was seven and last year made it through to the Horse of the Year Show where she competed in a dressage event.
She has now set her sights on the 2012 Olympics and bought six horses on which to compete.
The former topless model met the Queen in 2007 during a visit to the Moorfields Eye Hospital in London where her eldest son, Harvey, who is partially blind, is an outpatient.