If so, it is expected that you would allow the sellers to stay in the home for the three days post escrow closing.
Please review your purchase agreement and see exactly what pocession terms you agreed to.
Best of Luck to you ,
Kawain Payne, Realtor
Good question. How long the seller stays in the home is part of the negotiations, just like all of the other terms of the transaction. The reason why the seller often gets three days past close is that it is often uncertain exactly what day the sale is going to close. Even though the seller may be packed up, they still have to call the moving van or make other arrangements to remove their belongings from the home. However, three days is not a given and needs to be agreed upon between the buyer and seller.
Sometimes it is mutually beneficial if the seller stays in the home for a longer period of time. For example, the seller has kids in school and so does the buyer. Neither party is ready to move when the sale closes, so the buyer rents the home back to the seller for a month or two until the school year ends. In this case the buyer and seller usually enter into a formal agreement called a Residential Lease After Sale. The seller pays as rent what it costs the buyer for the buyer's principal and interest payment on the buyer's new mortgage, plus the prorated cost of the buyer's home insurance and property taxes.
I hope this is helpful and good luck with your purchase. Let me know if I can help in any way.
Realtor and Loan Officer
ERA Buy America Real Estate Services
If they wish to extend and you don't want to...then againm, have your agent fight for you.
Based on your questions, it sounds like you are negotiating a purchase contract or have already come to an agreement on a purchase contract. I always wonder why a buyer would ask a forum, rather than their agent. If you do have an agent, you need to ask all these questions. If you are not confident in the answers, ask to include the agent's broker in your next conversation.
Q2; "Is it true the seller gets 3 days...". The Buyer makes the offer and this item should be in the Purchase Contract. If you are using a CAR Residential Purchase Contract, then it is in your offer to the Seller. How much time did you offer the Seller to vacate after Close of Escrow? The only way that time can change is if the Seller gave you a Counter Offer. Either way you had to originally offer it or later agree in the Counter.
Q3: "What if they want to extend?" If you offered 0 days or 3 days or any other amount, the Seller is contractually bound to vacate at that time. You do not have to agree to an extension. Of course you can agree if you want to be nice or accept compensation, typically a per diem charge. Your choice. If they do not leave, then there are remedies through lawyers and the courts. This is a contract.
Q4: "... exactly when I have to move..why should I put my life on hold?" Buying a home is not an exact science. There are often delays. Most delays are due to the Buyer trying to secure their loan. It is typically the Seller that has to deal with the Buyer's delays.
I typically recommend at least a one or two week overlap between close of escrow and move out date from your rental. That gives you enough time to deal with delays, move your items and clean the rental. Often Buyers want to paint or carpet the new home, so this also gives time for that. Each Buyer and home is different, so the required time varies. Also talk to your landlord, if you have been a good tenant often they are flexible and will work with you.
Good luck and enjoy your new home.
You have the option to ask for possession on the day of close of escrow. If the seller wants to stay after the agreed-upon vacate date, a rental agreement should be signed. If the seller stays beyond that without prior agreement, you can file an unlawful detainer action in court.
I recommend to my buyers to give the current landlord a 30 day notice after the escrow closes; that way, you won't be without a place to stay. Escrows often get delayed and thing go wrong at times. Also, you can use the extra time to clean and fix up the new home before moving in.
I strongly recommend you get exclusive buyer representation through a knowledgeable agent to protect your interest.
Realtor. DRE 01241927
The RealEstate Group
(310) 528-4271 Cell
email: Salim@InvestinSouthBay.com http://www.InvestinSouthBay.com
The issue of possession is addressed in the Purchase Agreement. Both Buyer and Seller must agree to the terms. If NO AGREEMENT can be made, there is no contract.
As one reply has rightfully noted...it is negotiable.
If you would like additional information on the buying process, I would be happy to share it with you. Just contact me and we set up a time to meet.
First Team Real Estate
Cell No. 562.413.6068
There is a paragraph in the contract where the buyer states how long the seller has to move out. In the Long Beach area, it is the custom for our local area to give the seller an additional two to three days after close to move, however, not mandatory. In my experience, many times the seller has all ready vacated the property at close and the buyer can get the keys on recording day. By allowing the seller a little additional time, it definitely sweetens the pot for you if you give the seller extra moving time, especially when there are multiple offers on a property like we are seeing lately. If the other offers are stating for the seller to be out immediately at close and you are being considerate by offering them a little extra time, your offer will be considered the more humane one. I have had offers accepted that were not the highest, but because the buyer was considerate to the seller, their offer was the one the owner went with.
The art of negotiating a sale is a give and take for both buyer and seller. Hope this helps!
Its not really your responsibility anymore than it is a sellers responsibility if a buyers loan gets delayed and doesn't fund on the date scheduled. This kind of detail should always be hashed out at time of offer.
If you are a cash buyer, you can probably get away with possession to be immediately after close of escrow, but to play devils advocate, if a buyer requested my seller client to be out of their house immediately at close I'd have no problem asking that buyer to pay a per diem late penalty if their loan or funds don't come through in time. They better feel darn comfortable in their lender because it will cost them if there are delays and there often are. Most of the time, the transaction is waiting on the buyers loan to fund, not the seller to get their affairs in order.
To protect yourself, if you feel like a seller may not move out, you can request a portion of the proceeds to be held in escrow until they do. This again, however, needs to be hashed out at the beginning not in the middle or last minute. Hope this helps.