[‎‎‎‎‎‎‎‎‎USER]

savvy real estate folks… would appreciate some unbiased advice!
I am set to close on a condo in less than a week. The offer was accepted and ratified about 2 weeks ago so it has been moving very fast!

In hindsight, I should not have agreed to a few things including: the fast closing and rent back.

I felt a lot of pressure to do so from realtor and seller, and I am buying it on my own without someone to share the burden or bounce ideas off of!

After submitting my offer the seller asked for 10 days rent back which my realtor advised I give free of charge.

The seller wants my money in hand, and to live in the unit until their next place closes.

I had the inspection to void contingency (now passed) as well as an appraisal contingency (I have not seen it so I don’t know where that stands but it is likely ok and no longer an option), and finally, the HOA doc contingency.

There was a huge delay getting the docs (requested on 6/2, I just got them on Thursday night). Realtor says I have until tomorrow for that review.

I am overwhelmed reading through them. I feel taken advantage of between the early close and the free rent back, and now the rush to read these at the last minute.

I had decided not to give notice at my apartment until all contingencies were cleared, and given the lateness of this, I am now on the hook for another 2 months of rent payments!

I can walk away free and clear tomorrow, and tomorrow only, so I want to get this right while I still have that out.

Any suggestions for a possible concession or way to handle the condo docs?

Or, am I way overthinking this and the anxiety is just par for the course?

Thank you!

[Julia]

Ask your realtor to request a contingency extension to give you time to read through the docs and ask HOA questions you need to

[Juli]

I would negotiate closing but no free rent back. There is no need to be in a rush for either of you. You have no control whatsoever over what they do.

What if something falls through on their end?

So no, closing is negotiable but possession is upon closing.

They need to be prepared to move if they are selling.

[Joyce]

Condo HOAs are not awful. It all depends on the company.
That being said, the fact the docs too so long would be red flag #1 for me.

I would ask my realtor why they took so long.

When we listed our condo last year, we requested docs at time of listing so they would be available ASAP when we got an offer.

[Leahy]

For me, HOA is an automatic No. Also, from my experience, if you’re anxious now, you will regret it later.

There will always be other houses.

Every time I’ve rushed to a major money move, it’s come back to bite me.

[Sue]

This seems so rushed to me, and not professional to give you almost no time to look at the documents.

I thought it was almost always a bad idea to let the prior owners stay in the house once it is yours, due to possible damage.

It’s not your problem that they need a place to live.

Is this place a better fit for your life (size, location, safety, cost)?

I’d probably back out tomorrow, unless the house is perfect and you can have a clause/rider added to cover any possible damage until you move in.

[July]

What area are in? We had the prior owners pay us 2 months rent because they needed to stay in our home longer but we also delayed the closing date until they were out of the house (at closing they paid us 2 months of our rental contract where we were waiting for them to move out).

This was in 2021 in a super hot sellers market. I would NEVER buy with HOA.

NEVER!

[Annette]

Rent backs are pretty common, but I can’t imagine YOUR realtor to suggest it be free of charge! If their new place isn’t closing yet, why the rush for a quick close?

A simultaneous close would be better.

Something is fishy, you’re feeling pressured, I’d probably walk away.

[Scott]

The critical docs in the HOA review are financials ie are the revenues higher than the expenses and the level of reserves ie is the HOA adquately funded.

They should also provide you with a reserve study that projects projects and capital needs.

Documents they should provide are at least two years of audited financials, Board minutes for at least two years and the latest reserve study (how recent may depend on the state).

If they have not provided you everything ask for them and likely that will ‘pause’ the review (not legal advice).

On the rent back clause the contract should have what is the ‘drop dead’ date them to be out.

We purchased something where the seller needed some period of time for new construction.

A rent-back period was a deal breaker for us however we did negotiate an extended close date with a clause that if seller did not close by that date we could walk away in our sole discretion.

[Sue]

Don’t rush into a close if you had not read everything in the hoa docs. A free rent back is a hard no.

What if their new house doesn’t close then you are stuck with them living in your home that you will be making payment for.

Don’t let anyone rush you into a quick close whats wrong with the place that they don’t want you to know.

I would walk away. Hoa are the worst

[Katie]

Have your agent submit an addendum extending the contingency for the HOA review by a few days since you just got those docs.

That’s a reasonable request and gives you some breathing room to think this through.

[Cari]

Realtor here. Absolutely do not rush closing if you do not do inspections or review HOA documents.

It is so important to review these documents – you need to see how healthy the association reserves are and if there are any looming special assessments.

Also, absolutely do not rent back to the seller for no money! We are not in a desperate market where you need to make concessions for sellers to get the deal.

Walk away if you’re feeling pressured and get another realtor if you feel this realtor is not advising you property.

They need to have YOUR best interests in mind at all times as they represent you in this transaction.

[Kelly]

Also research the HOA management company.. HOA/Condo assessments, etc.. when was the last roof/windows replacement.

Call up the HOA President and chat..

Visit the neighbors in the condo..

[Stephanie]

Do you absolutely love the home and location? Are you good with the purchase price?

If not, based on your other feelings of being rushed and pressured on the close date, seller rent back and doc review, you should consider walking away.

It’s risky to let the seller live in the home after closing.

Could you renegotiate and push out the close date so that seller is out by closing?

I recommend having a heart to heart ASAP with your agent.

[Mary]

You might consider talking with your realtor about it. A good realtor should have your back and will help you either find a way to get more time for the document review or help you back out of the sale.

If your realtor won’t do this for you, then it is definitely time to find a new one.

I did a 2-month rent back to sellers when I bought my house (at peak of the market).

It’s not that uncommon and 10 days isn’t very long. Talk through insurance and other considerations to ensure everything is covered with your realtor.

Again, your realtor should have your back and help you sort through this stuff – or direct you to the resources that you need.

If your realtor won’t do this, then definitely time to find a new one.

[Roberta]

Absolutely do not allow them to stay there after you close.
Do not move forward if your gut is telling you no.

Step away, especially if you have not had a full review of those HOA docs. HOAs are a nightmare.

If you are stuck for 2 more months of rent, take those 2 more months to find a ‘I know this is the one place”.

[Beck]

Are they required to have insurance during the rentback? Your homeowner’s should be in place and they should have renters insurance.

Please make them provide proof and have that locked in.

I personally don’t like how rushed this is, and don’t feel that your realtor is working for YOU.

They want a sale.

[Kristin]

Get a new realtor! They should NOT pressure you like that. They work for YOU and should make the terms so you are more than 100% comfortable.

Tell your realtor your hesitations and say you need more time to think on this.

If they do nit agree to your terms, walk away. We have worked with our realtor for close to 4 years looking for the best place.

We have submitted offers, changed offers and backed out a couple times. He has always been understanding and never makes us feel pressured.

He makes sure anything we are not comfortable with, he adjusts/ makes sure it’s in a contract somewhere.

And for a side note- we used him 10 years ago and got us in our current dream house.

We are only looking again because we want a neighborhood, otherwise our current home is 99% perfect (which he helped us find)

But I also get overly nervous with big purchased like this, nerves are expected but you should not feel so pressured.

If this place is perfect for you, renegotiate/ change a few things and your realtor can tell the sellers you need more time.

No reason they can’t be flexible.

[Rajesh]

Why don’t you have a real estate attorney representing the buyer which is you. it costs just a few hundred and she helped me close a short sale.

They deal w/ all sorts of conditions and protect you from being taken advantage of.

The agents always rush you, so that they can walk away w/ their commission. I think given the time constaint I would walk away.

its already a buyers market in quite a few places..

[Author]

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