We consider pinned diffusion paths that are explored by a particle moving via a conservative force while being in thermal equilibrium with its surroundings. To probe rare transitions, we use the Onsager-Machlup (OM) functional as a path probability distribution function for transition paths that are constrained to start and stop at predesignated points in different energy basins after a fixed time. The OM theory is based on a discrete-time version of Brownian dynamics, and thus it possesses a finite number of time steps. Here we explore the continuous-time limit where the number of time steps, and hence the dimensionality, becomes infinite. In this regime, the OM functional has been commonly regularized by using the Ito-Girsanov change of measure. This regularized form can then be used as a basis of a numerical algorithm to probe transition paths. In doing so, time again is discretized, progressing in fixed increments. When sampling paths, we find that numerical schemes based on this regularized continuous-time limit can fail catastrophically in describing the path of a particle moving in a potential with multiple wells. The origin of this behavior is traced to numerical instabilities in the discrete version of the continuous-time path measure that are not present in the infinite-dimensional limit. These instabilities arise because of the difficulty of satisfying, in finite dimensions, the conditions imposed by Ito's lemma that was an essential ingredient in the derivation of the regularized continuous-time measure. As an important consequence of this analysis, we conclude that the most probable diffusion path is not a physical entity because the thermodynamic action is effectively flat and cannot be minimized.