Subscribe to Answers
No - most of the time.
Have not needed to do that.
If possible, yes.
Not my call - up to the Seller
It's not up to me to "allow" it. I don't think it's a good idea for many reasons and I would say that to the seller, but I would also recommend they discuss it with their attorney and their home owner's insurance agent.
However, if a seller and a buyer chooses to go that route. I make sure to obtain signatures from all parties, with a statement from me saying I DID NOT recommend them to do so and I suggest they consult an attorney......too many liability issues!!!!
It's not ideal, but sometimes that's the only option. And ultimately, it depends on how the seller feels about it. It also depends on what happened at the lender end.
Joan Cox it all depends on buyer's and seller's situation. If need be, yes.
However, I'd still prefer that buyers move in after closing only.
It depends. I try to discourage this at all costs but sometimes it just seems like the whole deal will fall apart if some resolution is not reached. So if that is the case, with strict rules I will work that out.
Depends on. Not right away if early in the day. If we can get them closed the next day, I will put them up in a hotel for the night. I will BILL the loan officer and I have collected.
No, that is too risky, although it's up to the homeowner, nit me to make that decision. But I would recommend against it.
Only when we receive a notification from the escrow that it is recorded. I understand that both sellers and buyers have plans, they might even have ordered the moving companies. But allowing buyers to move in before closing of escrow is unnecessary risk.
My advise to my Seller is to refuse the rental due to liability issues.
Maybe, if we get the proper liability waivers set up and signed by an attorney and if the seller is OK with it.
I advise the buyer to refer to the purchase agreement and to adise their lender he/she is picking up the cost of interim lodging and storage.
You can not allow your seller to become a victim because the buyer choose the wrong lender. If it's the lender is inhouse with the buyer agent, the agent can contribute to those costs also.
No, no, no!
Not wise from a liability standpoint. Agents do not want to be cooking up hold harmless clauses/contracts or rental agreements that attempt to solve the issues surrounding such circumstances as they are not lawyers, they are RE agents. Typically the buyers are also just as disgusted at their lender by this point, so sellers need to be aware that not ALL is in the hands of the buyer and therefore NOT to "shoot the messenger," typically the buyer agent. As pointed out, buyers can usually get a hotel room or similar, but what if the seller needed closing funds in order to buy and was looking for a morning (sell side) closing and then a (same day) afternoon buy side closing? And the seller of the home they were planning to buy. It is only going to get worse with the new closing/GFE mandates coming- rules around that are not favorable to moving vans. Pods are going to be a better solution than moving trucks. Agents also need to be able to protect their commission in a case like this.
We have a pre-settlement occupancy agreement that lays out the guidelines very strictly, however, we never recommend it unless it is just absolutely necessary and my experience has been, if you say no, you find the buyer can make other arrangements after all. Hopefully every buyer has a Plan B and does not show up to settlement with all their early belongings in a moving van.
My of my sellers WILL NOT allow that...it's pretty rare to see that around my area. Doesn't matter whos fault.
Hi Joan -- in a word - my advice is NO
That is a fine idea if you represent the buyer. However, if I represented the seller, I would not normally recommend a rental agreement. It is too difficult to evict a tenant if all goes bad.
Always a tough question. This is where the relationship with the loan officer is crucial. Are we sure the transaction is going close? What conditions are left for the lender to sign off?
It depends on the seller and the buyer. If the seller is able to let them, i make sure that everything is all set and there are no outstanding conditions from the buyer to their lender
It would depend on the seller of course...but I would have reservations about this. Whaat if the deal doesn't close? How would you handle the liability issues?
great question Joan ; as the buyers agent that has come up a few times , i try to avoid this i think is a can of worms that i don't want to open . prefer to find a way to work an extension with the listing agent . as for the client not having a place maybe, rent a hotel , move with family or friends till closing .have a great month