Asked in MortgagesHome Equity and RefinancingForeclosureProperty Law
How long can I stay in the house after the sale?
January 20, 2008 5:29PM
Ownership and possession of a property do not necessarily change at the same time. You could rent (or lease) the house from the new owners, if they choose not to occupy the house after they purchase it.
In many cases, however, it may be advisable to make "vacant of all tenants and their belongings" a condition of the purchase, if the new owner wants the prior owners (and their guests) to leave immediately.
There are situations in which it may also be acceptable to charge short-term "rent", say, $2,000 per week, for the first week and $10,000 for each week after that, or some other strong incentive for the previous owner to vacate as soon as possible.
One potential problem is that such "rent" may be taxable (e.g., in NH at 8%), and the buyer would have to file official papers as a tax-collecting landlord.