3 Essential Steps To Take Before Agreeing To A Post Settlement Occupancy Agreement
Posted on: 10 January 2017
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If you are trying to coordinate the sale of your current home and the purchase of a new one, you are not alone. Many people are placed in this scenario when they decide to move. If your current home closes before you can move in to the new house, you can continue living in the home for a certain time period if you and the new owners come to a post-settlement occupancy agreement. Real estate agents will be familiar with this common arrangement, and here are the essential facts you need to know about such an arrangement.
Make a Request for It Early
If you suspect that you are going to need to stay in the home after your closing date, talk to the new buyers of the home about your request to stay in the home. Discuss the possibilities for the post-settlement occupancy agreement, which is sometimes referred to as the rent-back agreement, and be as specific as possible about what you need. The more thorough and clear you are, the better chance you have of getting what you want.
Consult with Your Real Estate Agent
Your real estate agent is going to know the ins and outs of post-settlement occupancy agreements. Although this arrangement does not get a lot of press, it is common in the real estate business. If you are not sure if it will work for your unique situation, talk to your real estate agent. If such an agreement wouldn't be best for your situation, your realtor may recommend some nearby houses you can rent until your new home is ready for occupancy.
Have a Lawyer Check Your Agreement Before You Sign It
No matter how enthusiastic you are about staying the extra days in your soon-to-be former home, be sure to have a lawyer look over your post-settlement occupancy agreement before you sign on the dotted line. A real estate attorney can protect your best interests and ensure that you will not be liable for things that should be the responsibility of the new home owners.
Finally, keep in mind that the post-settlement occupancy agreement can be good for you on multiple levels. It can give you a few more days with a house that you may feel an emotional attachment to before the new owners move in. It can also provide a lot of practical convenience when your next house is not ready. As long as you discuss it with the buyers and are very up-front with your intention, it can benefit all involved parties.