What Is A Rent Back Agreement?
A Rent Back Agreement gives the sellers extra time to live in the home after closing, essentially letting them become the new buyer’s temporary tenants. It doesn’t last for long—there are usually time limits—but it will give sellers a chance to close on their new home and pack up for the big move.
How does a Rent Back Agreement work?
Like the name implies, rentback agreements are legally binding agreements made in writing between the buyer and seller. Both parties decide how long after closing, the seller will stay in the buyer’s (new) home and how much they will need to pay per month.
What Does It Mean For The Seller?
Generally the agreement is between a month to six months, but the property technically isn’t theirs any longer for which they have a landlord temporarily.
What Does It Mean For The Buyer?
For the buyer that isn’t ready to move out yet, for example, they haven’t closed on selling their home, this could be a good thing. But the buyer will need to beware of any problems since now they’re a landlord, if something breaks simply from age, they will now need to pay to replace it.
Before signing the Rent Back Agreement, the buyer will want to:
Agree to charge a fair price (something to the equivalent of what they would be paying on the mortgage). The lease agreement should include who’s paying for the utilities.
Determine exactly how long the seller will remain in the home.
Request a security deposit and request they get renter’s insurance because if someone is hurt on the property, the renter will be responsible.
Charge a holdover fee if the seller remains longer than the original agreement. This fee could be $100 /day past the time they were supposed to vacate.
A rent back agreement can have some potential risks for both the buyer and the seller so both parties will want to weigh all the options before signing.
You may be taking risks with a rentback agreement, the risks are limited when you’re building muscle and either climbing your own stairs or a stair climber.
When you climb stairs, it is one of the best exercises for fat burning and has many healthy benefits:
Strengthens lower body
Helps with butt toning
Helps with thigh and calves
Helps with strengthening lung health and cardio vascular health
Helps with burning belly fat and building abs because it works with your stomach muscles and strengthens your core; therefore, keeping your tummy toned.
If you choose to use a stair climbing machine, depending on your fitness goals, you can focus on increasing your stair climbing speed or work to tackle new resistance levels. The great thing about using the machine is you can do both at the same time.
I hope this was helpful and gave ideas about signing a Rent Back Agreement and toning with a stair climber. If you know anyone who may need my assistance, please help them by referring them to me. If you know anyone who would benefit from this post, please forward it to them. Please feel free to ask questions and remember to follow me on social media: Facebook and Instagram.
Your Nashville Lifestyle Agent…