How long does the occupation last and what is the deposit and the amount of deposit that the owner of the establishment receives? Obviously, the larger the deposit, the more secure the arrangement will be for the homeowner. It is also important to ensure that buyers and sellers have the right type of hazard and liability insurance for the property during occupancy. Who bears the risk of loss if the property is damaged or destroyed by fire or other disaster during the period of occupation? The buyer who is taken into possession before the count cannot rely on the owner`s policy that begins on the day of the billing. The buyer is not yet the owner of the house. These types of agreements, known as post-occupancy agreements(sometimes called rent-back agreements), are agreements in which the buyer agrees to allow the seller of the property to remain in the house after the billing date. These are not cutting and insertion chords. Instead, some kind of legal finesse is needed to ensure that all parties are protected, since there may be potential liability if these agreements are not properly structured and verified. One of the main concerns that could be problematic is liability during this additional time. Sellers should be held responsible for injuries or losses or damage to property closures. Sellers should take this into account and have their own liability insurance until they evacuate the premises to ensure that they do not face a heavy personal liability by not terminating insurance during the extra period. Finally, make sure that all appropriate parties, both the buyer and the seller, sign the occupancy agreement. Whether you represent the buyer or seller if you are involved in a real estate sale transaction in which the buyer will occupy the property before the count or the seller will occupy the property after the count, it is important to ensure that the conditions of occupancy are properly documented.
Sometimes the parties and real estate agents involved in such transactions do not focus on the fact that an agreement on the occupancy of the property by the buyer before colonization or occupation of the property by the seller after the count is essentially a lease agreement between the parties.