An open dialogue with a seller asking if they should offer a rent/lease option on their home that is for sale and if they offer this, how it would work. Below is the response I gave. I thought this might be helpful as other sellers contemplate going this route with the market currently what it is...
My Response:
First, I am attaching a copy of the Leasing Listing Agreement which may help to answer some of your questions. Based on your last email and the one this morning, I may have confused you regarding commissions. I have had the best success with a commission structure in FMLS where the Seller pays an equivalent of one month's rent in commissions. That is split 50/50 between the listing agent (myself) and the agent that brings a renter. So, in your case, the amount would be $2,700 with $1,350 paid to me and $1,350 paid to the agent who represents the renter. Unless that type of incentive is there, most agents will not even show a rental property. If a renter comes in unrepresented by an agent, then I will not charge you both sides, so only $1,350 is due in that case. I have written the lease agreement with these terms in mind. If you have further questions or I have confused you more, let me know. If not, just sign the attached and fax it back to me at the number below and we will get it entered into the system.
The other thing that is important to clarify is the role I play and the role that you play in this type of transaction as it is a little different than selling a house. I will write the lease agreement for you as well as advise you on the important things you should include in the agreement to protect your interests. I will also be present for the walkthrough that takes place prior to someone moving into your home. This is where we note the current condition of the property as it relates to protecting the deposit for both parties. I do not do employment verification, reference checks, credit checks, or background checks. That will be your responsibility. However, I do have resources that could conduct a credit check for you at no cost. I am pretty sure I also have a standard rental application that I can provide to you should you identify a potential renter. I am also happy to consult with you on any rental application's contents. Since you are in a landlord/tenant relationship in a case like this, it is important that you meet the applicant and feel comfortable with them renting your home. Once the lease agreement is signed, I do not continue to have a relationship with the tenant.
Regarding the lease/rent term, yes we should be able to indicate it is negotiable. Most put that they want a 12 month term, but often tenants ask for a shorter term. You might consider charging a little more rent for a shorter term or month to month lease.
Regarding your question about the holidays and moving out furniture, etc. I don't think there are any hard and fast rules on this. I could make a case for both sides on this one and don't feel strongly about either position. At a minimum, we could certainly indicate in the listing remarks that you have the ability to do a quick closing even if you don't move your furniture out. Some people do better about visualizing the possibilities of a home when the furniture is still there. Others, think it looks bigger when it is vacant. Should you decide to move everything out, I would suggest you be sure that any nail holes left from pictures are repaired and painted. I would also still leave basic things out, like towels, toilet paper, etc. It is also important once a house is vacant to still keep it clean....sometimes you will start to see bugs and cob webs, etc. and it doesn't make a great impression. I'd also suggest at this stage that you go ahead and have the carpeting in the basement stretched if you haven't done so already. One other thing to keep in mind if you buy another house...when you go to get homeowner's insurance on the new house, they will ask you if the house you are selling is vacant. When they find out it is no longer your primary residence, they will want to raise your rates as it costs more to insure a vacant home. Sometimes they will let you ride it for an extra month, but just know that you may have an additional expense on that.
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