One of the worst things that can happen in any escrow is dealing with adversarial buyer possession that can arise when the seller refuses to move out on time. The reasons a seller may refuse to move out are numerous. The seller might not have been made aware of the date of closing. Although our transaction coordinators send out an estimated timeline, not every listing agent will respond to the timeline. Some will not send it to their sellers. Some listing agents don’t hire a transaction coordinator, either. Or, sometimes listing agents don’t know how to count the days to closing in a purchase contract. In which case they give the wrong date to the sellers.
Do you think it’s a good idea to let buyers move into the house before closing? Is there ever a good time or reason to give home buyers early possession of a home? I suppose the opinion greatly depends on which side of the fence you sit. If you’re a buyer, absolutely, you may develop an unexpected need for early possession right away, especially if you have to move out of your home before the closing of your new home. You don’t see anything wrong with it.
Hey, I’ve been there. I recall moving out of an apartment in Edina, a suburb of Minneapolis, the last apartment I ever lived in 25 years ago, and buying a home via a land contract of sale by the lakes in south Minneapolis. Went to closing, signed all of the documents, deposited funds and went home to finish packing. The sellers suddenly developed seller’s remorse and refused to sign closing documents. I sent a letter demanding they perform in accordance with the purchase contract, and I moved into the house anyway, without their permission.
In any real estate transaction in Sacramento, getting occupants out of the property so the buyer can take possession at closing is often a juggling act. Buyer possession can cause difficulty because stuff can change during escrow and the sellers might have no place to move, despite their best intentions. This time of year, it’s even more difficult. In talking with a seller yesterday about her brother moving out of a home that is in escrow right now, I suggested that he might be better off trying to find a rental NOW that is available on November 1 and negotiating with the owner to let him move in on November 15th, which is a few days before our closing date.
New real estate agents have it kinda tough in a market where they are supposed to know what they don’t know, especially when it comes to the final walkthrough for the buyer. The problem seems to be that some think it’s a time for the buyer to conduct a final inspection, which it is not. I’m not sure where they get that idea, but probably from the same place that other bad ideas come from, the land of assumption. To get to the land of assumption, you’ve first got to cross the river of confusion and hope you don’t have to navigate blindfolded at high tide.