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Posted: 2/1/2006 11:16:13 PM EDT
[Last Edit: 2/1/2006 11:17:38 PM EDT by Shooter505]
When you sell your house what is the customary possession time after closing? I have seen 2-7 days after closing but the buyer of our house wants possession upon closing. This puts us in a bind to move before we close so I am not to open to this idea. Is my thinking wrong about this?
Link Posted: 2/1/2006 11:25:00 PM EDT
30 days. Parties may agree to more or less.
Link Posted: 2/1/2006 11:30:45 PM EDT
We walked out of the closing and went right to "our house". It was vacant at the time though, as the owner had moved and the closing was handled by their rep.
Link Posted: 2/1/2006 11:32:43 PM EDT
There is no solid answer, that is all part of the deal. I had possession of my house 3 days after closing. You can ask for additional price increase for lodging storage if this is a bad situation or negotiate the time to possession. But it could cost you your buyer also.
Link Posted: 2/1/2006 11:36:50 PM EDT
Thanks for the answers, I think 3 days after closing is fair!
Link Posted: 2/2/2006 7:50:57 AM EDT
My policy on closing is to take possession AT closing. No exceptions...EVER...Once you've closed on a house (if ur buying) it's YOUR'S..Why would you let a stranger live in your house. Unless you put a BUNCH of money into escrow or work out a lease araingment what are you gonna do about potiential damage to the house when they finally move out? How about insurance? Does your insurance cover someone living in YOUR house if they fall and injure themselves? How about if the house burns down?

Naturally, reverse the picture if your the one selling.

In the case of needing to move into a new place? That's simple, put off closing. You guys that let folks live in the house after closing, doesn't any of the above issues ever worry you?

Not trying to be a hardass here. But it's easy to put off closing to fit someone's schedule, potientally NASTY to argue with an insurance company.
Link Posted: 2/2/2006 7:52:16 AM EDT
Immediately after closing.
Link Posted: 2/2/2006 7:54:11 AM EDT
Often times what people do is the house is legally the new owner's at the time of closing but the previous owner enters an agreement to pay rent for a few days while they get their stuff out and this is reflecting at closing settlement.
Link Posted: 2/2/2006 7:56:12 AM EDT

Originally Posted By topknot:
Immediately after closing.



+1

Thats the tradition around here.
Think about it, what if you let them stay for couple days and they burn "your" house down or something?
Link Posted: 2/2/2006 7:57:51 AM EDT
In my experiance (3), right away. Any amount of time can be negotiated with payment for rent, and penalties for being late.

There is no customary time, it's whatever is agreed to.
Link Posted: 2/2/2006 7:57:58 AM EDT
It all depends on your contract. I'm closing on a house Feb 24 and I will occupy the house as soon as I can get there after I sign on the dotted line. There are too many variables that could come back to bite you in the ass if you let someone stay in your house after you have closed. Closing = you own the house.
Link Posted: 2/2/2006 7:58:53 AM EDT
Link Posted: 2/2/2006 8:00:43 AM EDT

Originally Posted By dolanp:
Often times what people do is the house is legally the new owner's at the time of closing but the previous owner enters an agreement to pay rent for a few days while they get their stuff out and this is reflecting at closing settlement.



It gets complicated even more if you have a closing of your own and then need to wait on a closing to get into another place. If they want to walk over me needing a day to get out and know the deal is done they can walk. Draw up a lease agreement and have you pay rent until you are out is a pretty good compromise, add MASSIVE penalties for not being out on the agreed to date.
Link Posted: 2/2/2006 8:01:26 AM EDT
We took possession at closing. They had wanted to stay the weekend, so as part of the deal, we rented it to them for that time period. All things were in writing including rental agreement, deposit, etc. The deposit was held onto by us until we were sure no damages were incurred.
Link Posted: 2/2/2006 8:03:44 AM EDT
Why not just schedule the closing to coincide with the day they will be out of the house? Have your final walk thru, then the closing, then take possession immediately.
Link Posted: 2/2/2006 8:09:28 AM EDT

Originally Posted By tc556guy:
We walked out of the closing and went right to "our house". It was vacant at the time though, as the owner had moved and the closing was handled by their rep.



Same here. But, if the house was still occupied, I would have given the seller a reasonable amount of time, say 24 hours to vacate the premises or anyhting inside is MINE! Call me an asshole but you start PAYING for the house at CLOSE, they are not staying for FREE in my HOUSE.
Link Posted: 2/2/2006 8:18:06 AM EDT

Originally Posted By thebeekeeper1:

Originally Posted By dolanp:
Often times what people do is the house is legally the new owner's at the time of closing but the previous owner enters an agreement to pay rent for a few days while they get their stuff out and this is reflecting at closing settlement.



Friends of mine close tomorrow (Feb. 3) on a nice rural property (100 acres) and the seller would NOT budge on living there until April 15--and REFUSED to pay rent. The reason for this is a farm auction scheduled for the first week of April. The auction company doesn't want to do the auction sooner due to weather concerns. The buyers are NOT happy about this--and the wife has been a real estate agent for years--but the lady (in her 80s and moving to town) was most adamant. When she complained to me I laughed and said, "Obviously you wanted to buy it more than she wanted to sell it."



I'd have walked away. No F'n way am I paying the mortgage while she lives there till she feels like leaving. Who does that? You have a tenent by lease or by law whether you like it or not.
Link Posted: 2/2/2006 8:34:24 AM EDT
We actually just closed on our house last Wednesday, but were given possession of it two days earlier by the owner.

They had already moved out though.

YMMV
Link Posted: 2/2/2006 8:49:55 AM EDT
Link Posted: 2/2/2006 8:51:18 AM EDT
We had everything(paperwork, loan, etc.) completed too quick for the previous owners to get moved out. We gave them a couple days and they had the new carpet put in during that time. That worked for us.


ByteTheBullet (-:
Link Posted: 2/2/2006 8:53:35 AM EDT
When we sold the farm in VA. We handed the keys to the buyer, got in the car and drove to FL.
Link Posted: 2/2/2006 8:56:21 AM EDT
The two times I've bought a house, I went straight from the closing to the new house to change the locks.

Both times, the properties were already vacant, of course. When I sold the first house, we agreed to be out of the house in 10 days. We took 2.

Buyer and seller have to agree.
Link Posted: 2/2/2006 8:59:37 AM EDT
When you close, the house has a new owner. Why would you agree to a closing date that was before you were ready to move? You wouldn't buy a car from a stranger, put the insurance and title in your name, and then let the stranger drive it for a few days before they gave it to you...

Link Posted: 2/2/2006 9:01:46 AM EDT
I would want them and all their property out of the house at time of closing.

If the seller needs time to move out, then the closing date should be the date they are ready to leave.
Link Posted: 2/2/2006 9:02:29 AM EDT
[Last Edit: 2/2/2006 9:03:46 AM EDT by u-baddog]
Its a compromise unless the house is vacant.
Twice when I purchased Ive moved in the day of closing. On the ohter hand once when I was the seller I had renters in the house already and I told the buyers they couldnt move it for 15 days after closing. They didnt like it but I wasnt going throw my good renters out early. I cut the buyers a check for 15 days rent at closing. The deal went smooth.

I would not complete the deal until I did a walk through the day of or the day before I close if I am buying.
Link Posted: 2/2/2006 9:04:19 AM EDT
[Last Edit: 2/2/2006 10:10:04 AM EDT by Dog1]
When we sold our house and bought a new one the buyer of our house wanted to wait until the end of last December.

The sellers of our new house was going to be out 4 days after closing, and we were not comfortable with the buyer of our house not taking it until the end of December, so at closing we basicly forced her to take it after we moved out..

She was too happy about it, but did it..

It's a good thing, be cause she moved right in after we were out only 12 hours.
Link Posted: 2/2/2006 9:11:21 AM EDT

Originally Posted By hsvhobbit:
My policy on closing is to take possession AT closing. No exceptions...EVER...Once you've closed on a house (if ur buying) it's YOUR'S..Why would you let a stranger live in your house. Unless you put a BUNCH of money into escrow or work out a lease araingment what are you gonna do about potiential damage to the house when they finally move out? How about insurance? Does your insurance cover someone living in YOUR house if they fall and injure themselves? How about if the house burns down?

Naturally, reverse the picture if your the one selling.

In the case of needing to move into a new place? That's simple, put off closing. You guys that let folks live in the house after closing, doesn't any of the above issues ever worry you?

Not trying to be a hardass here. But it's easy to put off closing to fit someone's schedule, potientally NASTY to argue with an insurance company.



Exactly right
Never change it. Change the date of closing. (stupid fees and $hit for the closing that all adds up anyway, make them suffer for it). keys on the table at closing. Plus you have no clue what's being done.

B
Link Posted: 2/3/2006 4:42:27 AM EDT
The customary process varies between states on this issue.

In MD, the property is legally the buyers immediatly after the papers are signed at closing, and the seller should be completely out of the property and hand over any keys at the settlement table.

We sometimes make rentback agreements, where the buyer owns the home and is the landlord for the seller for a few weeks to a few months after closing. This allows a seller who has a new house being built, or a specific job transfer date, or other issue which makes them unable to move prior to closing. This must be agreed upon in writing prior to signing the offer. Otherwise the buyer can just have you evicted immediately after closing.

It is customary, in my state, to move prior to closing. A seller requiring a rentback obviously has a smaller pool of buyers willing to purchase their property.

And it is not easy to delay closing as the seller, you will possible lose the buyer, and any buyer with half a brain will make the seller pay any fees incurred due to the delay if the delay occurs after contract ratification. Remember there are 30 day, 45 day, and 60 day lock rates, each progressively higher, or requiring points paid at closing. This means the buyer will be paying more. More than 60 days before closing gets really expensive for a buyer. A rentback is usually a better option. This costs the buyer 0 dollars. The seller just pays pricipal, interest, taxes, insurance per diem to the buyer, while continuing to pay the utilities themselves until they leave on or before the date agreed to in the lease agreement signed with the original contract of sale. While the buyer assumes more risk, you can hold a security deposit and of course sue the seller if something is wrong with the knowledge he will have funds to pay since he just sold his house.

Of course the best, and usual way is for the seller to be moved out by the day before closing.
Link Posted: 2/3/2006 4:57:22 AM EDT

Originally Posted By Shooter505:
When you sell your house what is the customary possession time after closing? I have seen 2-7 days after closing but the buyer of our house wants possession upon closing. This puts us in a bind to move before we close so I am not to open to this idea. Is my thinking wrong about this?




maybe you should just change the closing date to a date that you can be out by?
Link Posted: 2/3/2006 5:01:16 AM EDT
I have always had immediate occupancy when buying and selling. The way I look at it is that it's mine and I want in.
Link Posted: 2/3/2006 5:02:43 AM EDT
I started moving into my house 30 minutes after closing.
Link Posted: 2/3/2006 5:13:23 AM EDT
I did a rent-back (at a ridiculous rate, with a HUGE deposit) with my place. I didn't get to move in until 30 days after I closed.

FWIW, I did end up keeping some of the deposit.
Link Posted: 2/3/2006 5:23:23 AM EDT
Possession is negotiable. You just both have to agree. If you need more time, they might give you less money. Just decide what is most important.
Link Posted: 2/3/2006 5:29:00 AM EDT
Link Posted: 2/3/2006 5:37:16 AM EDT

Originally Posted By hsvhobbit:
My policy on closing is to take possession AT closing. No exceptions...EVER...Once you've closed on a house (if ur buying) it's YOUR'S..Why would you let a stranger live in your house. Unless you put a BUNCH of money into escrow or work out a lease araingment what are you gonna do about potiential damage to the house when they finally move out? How about insurance? Does your insurance cover someone living in YOUR house if they fall and injure themselves? How about if the house burns down?

Naturally, reverse the picture if your the one selling.

In the case of needing to move into a new place? That's simple, put off closing. You guys that let folks live in the house after closing, doesn't any of the above issues ever worry you?

Not trying to be a hardass here. But it's easy to put off closing to fit someone's schedule, potientally NASTY to argue with an insurance company.



i agree, i wouldn't want them still living in my house after i brought it, they could start nicking walls and damaging things because it's not theirs anymore.
Link Posted: 2/3/2006 5:55:44 AM EDT
It's pretty much negotiable between the parties. I had a pretting good experience with closing on my house. I closed on a Friday and the sellers asked for the weekend to get their stuff moved out (and I would start moving some of my stuff in as well). Having talked with them quite a few times over the process, I was pretty comfortable with that arangement. Everybody was happy and they were appreciative enough that they did some heavy duty cleaning of the appliances and repainted a walk-in closet over the course of the weekend.
Link Posted: 2/3/2006 6:23:46 AM EDT

Originally Posted By armoredsaint:

Originally Posted By hsvhobbit:
My policy on closing is to take possession AT closing. No exceptions...EVER...Once you've closed on a house (if ur buying) it's YOUR'S..Why would you let a stranger live in your house. Unless you put a BUNCH of money into escrow or work out a lease araingment what are you gonna do about potiential damage to the house when they finally move out? How about insurance? Does your insurance cover someone living in YOUR house if they fall and injure themselves? How about if the house burns down?

Naturally, reverse the picture if your the one selling.

In the case of needing to move into a new place? That's simple, put off closing. You guys that let folks live in the house after closing, doesn't any of the above issues ever worry you?

Not trying to be a hardass here. But it's easy to put off closing to fit someone's schedule, potientally NASTY to argue with an insurance company.



i agree, i wouldn't want them still living in my house after i brought it, they could start nicking walls and damaging things because it's not theirs anymore.



Unless they were slobs when you first saw the house, and at the walk-through, you probably would have a good idea of how they maintain the property. I believe the real danger is the actual moving process. That is when a lot of damage can occur, and is not in the direct control of the seller. If the movers drag furniture on the previously perfect hardwood floors, or slam that couch into the drywall making a huge hole, you are going to have issues.

But, sometimes for a buyer, they fall in love with the house, and are willing to accept the risk. In the previously booming seller's market, before it started slowing down, buyers had no choice. Typically, at least four people were going to make an offer in the first 3 days on that home if it was in decent shape, even if the seller stated he can't settle for 3 months because his condo in the retirement community isn't available, yet. The buyers would all be submitting offers in competition, and some things besides purchase price can make a buyer's offer stand out. A good option would be a quick settlement in under 30 days, with a 3 month Seller rent back after settlement. This would give the seller his money up front in the transaction, and allow the seller to stay until his condo is available without worry if it gets delayed(common with retirement communities as the previous resident doesn't always die vacate at the estimated move-in date). The seller would feel much safer with this offer than another offer for maybe $1-2k more that has a very tight time frame that could likely end up with the seller having to pay the movers twice, storage fees, and deal with the hassle of moving into temporary housing in the case of a delay.
Link Posted: 2/3/2006 6:50:12 AM EDT
On closing, I got the keys and moved in the next day.
Link Posted: 2/3/2006 6:59:26 AM EDT
not to be a dick about it but when I buy a house I want to move into my house after the closing. If that isn't possible which can happen I expect upfront discussions and a rental fee to be paid. I want the place empty the morning of the closing so I can inspect it - what if something gets torn up when the previous owner is moving out? Who's paying to fix the hardwoods?
Link Posted: 2/3/2006 7:02:13 AM EDT
I've always taken possession immediately. I'm surprised somebody would be willing to waive that. You get into all sorts of insurance and legal issues if the previous owner is still there and something goes wrong.

Not to mention, you generally do Final Inspection in the morning right before you go to the closing to make sure nothing has gone wrong since you last saw it.

Link Posted: 2/3/2006 7:06:54 AM EDT
got it right after going to the bank for closing. The couple were nice and were still moving a few tings out while we were moving in.

I would not let them live there if I (my bank) owned it.
Link Posted: 2/3/2006 8:26:22 AM EDT
I talked to my cousin that is a real estate agent in Atlanta and she tells me that it is common nowadays to take possession upon closing, but they still do the rent back agreements for 2 to 3 days once in awhile. She did tell me that when it is a possession on closing the contract will state that at 7 days prior to closing all contingency's on earnest money are null and void and if anything goes bad the seller keeps the earnest money to reimburse them for the moving expenses and what not.

Also my attorney advised me that more and more attorneys are recommending that buyer take possession upon closing because the insurance companies are really becoming a pain in the ass to deal with and that many problems can arise with a rent back arrangement. As he told me attorneys hate insurance companies and insurance companies hate attorneys.

Like allot of you have stated in this thread possession upon closing is the best choice for the buyer and the seller needs to get a good contract to reimburse themselves if the deal goes bad.

In my situation the new house should be done and we will close on both houses on the same day. We will close on this one in the morning and then drive 65 miles and close on the new house with the proceeds from the old one. This is going to be fun arranging all the logistics!! Anyone willing to start a Jack Daniels trust fund for me?
Link Posted: 2/3/2006 8:28:15 AM EDT

Originally Posted By topknot:
Immediately after closing.



+1 or charge rent.
Link Posted: 2/3/2006 8:28:58 AM EDT

Originally Posted By topknot:
Immediately after closing.



That's common in MN. That's the way I'd do it.
Link Posted: 2/3/2006 8:31:52 AM EDT
I took possession upon closing of my house. You can work it out with the buyer however you please, but they are buying the house, so you should be ready to move out.

Link Posted: 2/3/2006 8:38:45 AM EDT
.
Link Posted: 2/3/2006 9:39:59 AM EDT
The three houses I've sold all gave the new owner immediate
possession upon closing , and all three times my new house
wasn't ready

The last time I allowed 90 days beyond what the builder
guaranteed as the finish date . We still spent 4 weeks in
a hotel , but this time it was on the builders dime

Immediate turnover seemes to be SOP here in NY , because
up until this thread I'd never heard of a delayed take over .
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