In my 15+ years helping homeowners across Rochester, NY, one of the most common phrases I hear is:
“My friend wants to buy the house.”
On the surface, it sounds like the perfect solution—no agents, no strangers walking through your home, and a familiar face on the other side of the deal. But what many sellers don’t realize is that “wanting to buy” and “being able to buy” are two very different things, especially when a mortgage is involved.
This article breaks down what actually happens when a friend or neighbor tries to purchase your home using a loan—and why that process often costs sellers time, money, and sometimes the entire deal.
What Homeowners Need to Know First
A financed buyer must clear multiple hurdles before they can close:
- Credit approval
- Income verification
- Appraisal
- Underwriting
- Property condition requirements
- Attorney review (NY-specific)
Any one of these can delay—or completely kill—the deal.
Unlike a cash sale, you are not in control of the timeline.
The Real Timeline of a Loan-Based Purchase in Rochester, NY
Many sellers assume a loan takes “30 days.” In reality:
- 30–45 days is best case
- 60–90 days is common
- 120+ days happens frequently when issues arise
All while you continue paying:
- Mortgage
- Taxes
- Utilities
- Insurance
- Maintenance
Time is not free—and delays compound fast.
Why Loans Fail More Often Than Sellers Expect
Here are the most common deal-killers we see:
Appraisal Problems
If the home doesn’t appraise at the agreed price, the lender will not fund the loan—period.
Property Condition Issues
Outdated electrical, old roofs, peeling paint, or foundation concerns can stop financing entirely.
Credit Changes Mid-Process
A buyer opening a credit card, buying a car, or missing a payment can trigger denial weeks before closing.
Underwriting Surprises
Banks often ask for more documentation at the last minute, restarting approval clocks.
Real Story: When a Friendly Deal Nearly Cost a Seller Everything
A Rochester homeowner waited 94 days for a friend’s loan approval—only for the bank to deny the loan during final underwriting. By then, the seller:
- Missed other buyer opportunities
- Fell further behind financially
- Lost negotiating leverage
When they finally reached out to us, their options were limited—and more expensive.
Pros and Cons of Selling to a Friend Using a Loan
Pros
- Familiar buyer
- Emotional comfort
- No open market showings
Cons
- No guaranteed close
- Long timelines
- Financial exposure
- Relationship strain
- Zero control over lender decisions
Why Local Cash Buyers Are Different
A credible local cash buyer:
- Eliminates banks entirely
- Buys as-is
- Uses local attorneys familiar with NY closings
- Provides certainty and speed
At Brett Buys Roc Houses LLC, we don’t rely on “hopes” or approvals—we rely on funds and experience.
If you’re considering selling to a friend but want to protect yourself:
Visit brettbuysrochouses.com
We’ll help you understand your options—without pressure.
FAQs
Can I accept my friend’s offer and still have a backup plan?
Yes—and smart sellers always do.
Is a loan ever safer than cash?
No. Loans always add uncertainty.
How fast can a cash sale close in Rochester NY?
Typically 30–45 days, sometimes faster.