Mortgage Blog

Once in a while buyer will ask whether they can move in before the closing.

The answer is NO.

1)If there is a fire after buyer move in, who will cover the repairs? The insurance company, the buyer or the seller?

2)What if the deal did not go through, and the "buyer" did not want to move out. The seller will have to evict them.

3)Some "buyers" will do some remodeling after the move in, who will pay the contractors?

Then what's the right way? If the seller really really want the buyer to move-in, draft a lease agreement, and then purchase a rental agreement. But normally do not do that way.

The same way for the seller rent-back during a transaction, prepare a lease agreement as well.