In summary, pre-account and post-billing situations require careful drafting of appropriate written agreements covering all important and foreseeable contingencies that may arise during the implementation of the agreement and the possible violation by either party. If you are willing to have your buyer checked out before the count, you should write a written agreement containing at least the following: It is also important to ensure that buyers and sellers have the right categories of risk insurance and liability for the property during the occupation. 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. The buyer agrees to place the balance of the deposit with the lawyer or title company to be faithful. If, for any reason, the buyer does not actually close the transaction, the contract should specify that the security deposit falls in full or in part on the partial right to Ce at the seller`s choice. An early occupancy agreement is essentially an agreement to rent the house you are going to buy before actually concluding with the purchase. You agree to pay sellers an extra amount of money per day for the right to live in your new home before you legally own it. An early occupancy agreement usually has several conditions. First, the inspection period must be completed and the buyer and seller must give written consent on the items that will be repaired before the buyer arrives. If you move in, accept ownership of the house and accept that the condition of the house is satisfactory.
I have had a property under contract since mid-September. The buyer has just divorced and they have been working on the sharing of their real estate, etc. We have extended the colony twice, and now it seems that this can only happen after the holidays, because the lender needs more time to take it all back. It was, of course, a frustrating experience for all concerned. The buyer now asks if we are considering a pre-billing contract. She wants to move in before the holidays and is willing to pay extra money and pay for all the benefits. Has anyone ever worked with this arrangement? What are the pros and cons? If you are dealing with a post-billing contract, you will certainly want the agreement to at least allow the 15-hour occupancy fee to double or triple if the seller/tenant is late. However, depending on the circumstances of this case, the purchaser/lessor may, in addition to the statute of limitations and other legal costs, be faced with considerable additional costs related to the application of the contract, which may not be covered by a simple doubling or even a tripling of the daily occupancy tax. For example, the additional cost of temporary accommodation, the cost of storing furniture and the cost of a double move may be significant depending on the circumstances. The buyer will have a pre-occupancy review of the property and will agree to accept the property in its current state. Therefore, when billing, the buyer is not allowed to ask questions about the condition of the property.