Rent and security. The buyer must demand rent and a deposit that must be paid at the closing and, if possible, as a credit against the purchase price. However, the amount of the deposit and the deposit requested should not exceed the rent of one and a half months. See A.R.S. 33-1321. When determining the amount of rent, the parties should take into account not only debt service, if any, but also issues such as association fees and property taxes. In addition, the parties should explicitly state in the agreement who is responsible for public services. In the last edition, I have an article on pre-possession occupancy arrangements, agreements between a seller and the buyer of real estate allows the buyer to occupy the property before closing. I have found that one of the Department of Real Estate`s Commissioner`s Rules expressly requires that land licensees not authorize the occupation of a property by a non-owner without obtaining the owner`s permission or express instruction, and also advises his client to seek advice on the associated risks. See A.C. R4-28-1101 (J – K).

This article is not dealt with, but also provided for by Rule R4-28-1101, these are repopulation agreements. The repopulation contract is essentially the flip side of a pre-occupancy contract. This is an agreement between the buyer and the seller, in which the seller stays in the property after closing and the title is passed to the buyer. In general, the post-possession agreement does not carry the same risks as a pre-procesion agreement. Unlike the preprocessibility agreement, the post-ownership agreement does not depend on the conclusion of the sale, but comes into force if successful. If the sale does not close, the seller will remain in the accommodation as before. Whether the parties argue, extend the deadline or simply leave, the question of retooling never arises. When the sale closes, then buyers and sellers become landlords and tenants, period. There is no problem of a future closure, or the buyer gets cold feet during rent and recoil, or the seller leave to find another buyer, while the relationship with the former buyer tenant. With the recent amendment to A.C.C R4-28-1101, arizona real estate licensees in Arizona are now required to recommend to their clients to seek “appropriate advice” on the risks of a pre-possession (and ownership) agreement.

It is intended for them, a home buyer and seller can allow the buyer to own the house before the registration deadline. However, a pre-detained agreement carries many risks that the parties should carefully consider. State of the premises. It is very important that the buyer and seller address all questions regarding the condition of the premises before closing, as if the buyer were moving in immediately. The buyer should not fail to conduct an inspection and, before closing, to carry out a definitive best practice to ensure that everything is as it should be and that any problems are dealt with and resolved. The fact that the seller stays in the property does not change the fact that the buyer owns the property and all the property.