Can I stay in my home after I sell it? All about Possession Addendum
What if you need to stay longer in your home after you sell your home-is this even possible? For example, You could be selling your home and closing on it in the beginning of the month but then you bought another home and the closing is at the end of the same month or maybe two months down the road. Is there a way that you can stay in the house that you sold so don’t have to move twice?
In Pennsylvania it is called a post possession addendum and this is where the seller can stay in their home for a longer period of time after they settled and sold their home. There are also pre-settlement possessions and this is where the buyer can move in earlier or before settlement. This can be a creative solution depending on the situation of the transaction. However I think it’s really important to note there can be risks involved with this.
An example would be the sellers stays in the house after they sold it and accidentally there’s a fire in the house and the house burned down to the ground. The buyer would have to bear the cost of the property insurance because the buyer in fact does own the property now. Now with a pre-settlement possession is where the buyer moves into the property prior to settlement, the risk could be to the seller that their potential buyer falls through on Obtaining a mortgage and will not be able to go to settlement. Now the buyer is living in your house but not being able to close.
However, these types of situations can work out extremely well for both parties without any problems. It’s just really important that you’re working with an experienced agent who can help protect you and explain the pros and cons of certain scenarios. Please feel free to reach out at any time with any questions- we are here to help! Kimmy Rolph sells the Main Line and local areas! Montgomery County PA Villanova 19085, Gladwyne PA 19035 and Delaware County PA Wayne 19087.
