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Remax Advisor - Newsletter - Rent Back - Lease Back Offer
Buyer's Corner: The rent-back offer
Question: What exactly is a "Rent-Back" offer, and when should they be used?
In most real estate transactions, the buyer takes possession of the property at or shortly after closing. A rent-back is an offer made by the prospective buyer to allow the seller to remain in possession of the home for a longer period of time.
Why rent-backs benefit the seller
Many sellers find themselves making the dreaded double-move: first from the sold property into interim rental housing, then from the rental into a newly purchased home. Moving twice in a short time span can be costly, and not just in a financial sense. Most sellers in this position would welcome the chance to avoid any additional hassle, especially after having gone through the sometimes-draining process of putting their home on the market.
How a rent-back offer can benefit the prospective buyer
Because they are somewhat unconventional, making a rent-back offer to the seller can give the buyer some much-needed negotiating leverage. If moving into the home right away is not critical for the buyer, a rent-back offer may convince the seller to make concessions in return (by lowering the price or altering contingencies in the contract, for ... more

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