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Mentor
Closing contingent upon tenant vacating. No ifs ands or buts.
What's your realtor advising? What are the current lease terms (dates)?
If you go forward as proposed, you're becoming a landlord. There's inherent risk and makes the whole purchasing process more cumbersome.
If you're not prepared or have good council on the steps, it worth considering passing on this property. As you noted, worst case the tenant stops paying rent, doesn't move out, and you have to go through the eviction process - time & money.
If it’s a hot market then you might just have to do what Seller wants or they’ll move to the next market. Discuss with an attorney who knows landlord tenant law in NC.
Subject Expert
What state? What does an eviction look like in that state? What do the lease terms say about renewal / termination?
Just like the seller is asking you to assume the lease and send the notice to terminate at close, you can ask the seller to send the notice to terminate prior to close. It’s all a negotiation.
It’s really not that big of a deal. The renter knows what’s going on, and they are prepared to vacate. The worst case scenario that happens is you have to call the cops and get them to vacate the property upon expired lease.
lol cops aint gonna do anything 😂
Is this going to be a primary residence? Cash or mortgage? If it’s a mortgaged primary residence, your lender may, rightfully, have a huge problem with this scenario. Your insurance company will be right behind them.
I don’t think vacating 30 days after closing is normal. Would take GT1s advice and put that contingency clause to vacate prior to closing. Are you purchasing as primary home? If going forward with this arrangement, you’d need to let lenders know and possibly get landlord insurance, rental permit etc. since you will be taking over the lease for 30 days.
Good points all. Not primary home, but seems like not worth the hassle unless seller is willing to do the work to manage the renter.