Leasebacks – or rent-backs – are becoming more and more common as sellers struggle to find a home to replace the home they’ve just sold. According to a report from Redfin, 60 percent of homes on the market go under contract within two weeks while 47 percent are sold within a week or less.
With such rapid movement and tight inventory many sellers are asking for a leaseback agreement after the transaction has been closed to give them more time to find a new home. In fact, many sellers won’t consider an offer unless a leaseback is part of the deal.
On the other side, buyers are waiving the leaseback fees or even offering free or discounted rent to sweeten their offer.