date the buyers actually take possession of your house and move
into it depends on the terms of your contract. Here are the usual
Buyers move in the same day of
date is fine if you're absolutely, utterly, positively, beyond-a-shadow-of-a-doubt
certain of two factors: the house you're selling has closed, and
your next home will be vacant so you can move into it.
you intend to move directly from your old house into the new home
you're buying, and the closing is delayed or the sellers of the
house you're buying can't vacate their place, you've got a logistical
two moving vans to occupy exactly the same driveway at exactly
the same time borders on the impossible. Moving into a house while
someone else is moving out is something you'll never attempt more
Buyers move in the day after
recommend this alternative because, by using it, you can be certain
of closing. After all, you're still the owner until title transfers.
Moving day is stressful, even under the best of circumstances. Why
create unnecessary stress for yourself by trying to move out while
the buyers move in? The sellers of your new home will probably also
use the day to move.
of whether you move out of your house the day of closing or the
following day, make cancellation of your homeowners insurance,
utilities, and phone service effective one day after your scheduled
closing and move. Carefully coordinate canceling your homeowners
insurance policy with your insurance agent to avoid any gaps in
Buyers move in after a seller
sometimes stay in their house several weeks after closing while
waiting to get into their new home. If this situation happens to
you, you'll sign a separate rent-back agreement with the buyers
that becomes part of your purchase contract. The rent-back agreement
covers who pays for utilities and maintenance, what happens if property
damage occurs after the closing, how much rent you must pay the
buyers, and what penalties result if you don't vacate the house
on the date specified in your rent-back agreement.
Sellers customarily pay rent equal to the amount the buyers must
pay for Principal and Interest on their mortgage plus property
Taxes and Insurance, so they break even on the cost of owning
the house during the term of your rental. PITI, as this figure
is known, is prorated on a per-day basis from closing until you
vacate the property.
example, suppose that PITI is $50 per day, and you expect to be
out three weeks after closing. You and the buyers instruct the
closing officer to hold four weeks PITI so you both have a cushion
if you encounter an additional delay moving into your new home.
When you move, you and the buyers jointly instruct the closing
officer to pay the buyers $50 per day for the actual rental period
and to refund the unused portion of funds to you.
Next Step: Final Inspections and
To Seller Services