Good luck to you,
Unwavering Commitment to Service
Broker & Mortgage Banker
R3 Real Estate
If they do not get financing then you will have to move them out and evict them if they decide to...not an easy scenario. Have you had any other interested buyers? If yes, you do not need to extend the contract and take a chance with anothe buyer, makes sure they are completly pre-approved before accepting the offer.
You can always extend the contract to give the buyer time to get things straight, I had a closing that took 3 months because of the lender's fault. At the end if they do not get financing you will keep the earnest money.
Your friend (SELLER) doesn't appear to have the help of a Realtor and this is just one of many obsticals and steps we help guide buyers and sellers around. The buyer, does have a REALTOR and it seems the buyer is trying to get your friend to do an owner finance . This could be a mistake because she would be required to disclose and provide information at the year end for taxes, etc. If she didn't she could have REAL problems. Also, there are other what-ifs that should be considered and there are several. Those could become legal problems quickly. I am a realtor in Houston...I'm not a lawyer. However, if you would introduce your friend to me and ask her to call I would be happy to listen to the facts and if she needs an attorney I can recommend some info and a name.
Good Luck, Kathleen Hamid, Realtor (281) 799-4002 email: KathleenRealtor1@gmail.com