Rent Backs: Making your Real Estate Transaction a Breeze
Here’s a consistent problem real estate brokers hear almost every day: A seller wants to sell their home and purchase something different, but they’re concerned they won’t be able to find that perfect home. The answer is rent-backs. Rent backs allow the seller time to find their next home without having to move their belongings twice.
When Rent Backs Work
Let’s paint a scenario. Say we’re going to list your home on the market. We sign the listing paperwork, and your home goes live in two weeks. Once live, it’s probably going two take a couple of weeks before we get the right offer and your listing goes pending. Usually, it’s another four weeks until the sale is closed. At this point, since the listing was signed, you’re about ten weeks from looking for your next home.
Two Houses, One Home
So let’s say you find your next home, but you have to wait until the sale closes on your current property to make an offer on the next one. What happens is your home closes, but you still have possession of the property, and you’re still living in it. A rent-back allows you to stay in that property until you get the keys to your next home. The time can be anywhere from 30 days to 90 days, however long you need until you’re ready to move.
Move with Ease
It’s a great way to avoid having a seller have to move their belongings twice. 70% of all our transactions have a rent back in the agreement. It’s something we do all the time and is standard practice. It is an excellent mechanism for people who are still looking for their dream home.
Check out our latest amazing video above to learn more about why rent-backs are a helpful tool for home sellers.