We are 2 1/2 weeks in a 60 day escrow to buy our first home.It is tenant occupied. When will i see it in writing/escrow that house will be vacant?

Asked by Randy, 90815 Sat Jul 31, 2010

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Kawain Payne, Agent, Seal Beach, CA
Mon Oct 14, 2013
Your purchase agreement should stipulate that the property be delivered to you vacant. You should take procession of a vacant home no later than three days after the close of escrow!

Kawain Payne, Realtor
0 votes
Alex Montelo…, Agent, Seal Beach, CA
Sun Jun 2, 2013
As everyone has stated before me... It should be in the contract, counter offer or addendums if any. Negotiating the occupancy should have been done up front. If if was not covered or somehow overlooked, it should be addressed right away. I have heard of nightmare transactions where tenants or even the sellers themselves did not get out of the property once the sale was complete. Protect yourself and get on it right away, hopefully before your contingencies are removed.
Best of Luck. Please let us know how everything works out for you.
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Roberto Gosim, Agent, Carson, CA
Thu Mar 7, 2013
Hello Randy!
I was surprised you're asking it here not your
agent if one is representing you or the seller
if it's a FSBO(For Sale by Owner).

In any case, you should have known before you
open escrow if property will be delivered vacant or not.
Everybody is saying it's in the contract...reality if the agent
say it in the remarks, addendum, counter, etc. you have
to know. Right now probably you did physical Inspection,
Lender should have sent an appraiser, you already ask
for repairs, etc. All of this steps should have been done
before the 17 days as per contract.
Hope this helps. Good Luck

C21 Action!
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Jerome Hodge, , Long Beach, CA
Wed Jan 19, 2011
If the tenant has a LEASE, then they are entitled to remain in the property until the lease expires. The disclosures you received should have covered this aspect. Your agent should be able to answer this with clarity.
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Ian Hand, Agent, Long Beach, CA
Tue Aug 3, 2010
Item 5C of your purchase agreement should state the answer quite clearly. "Property to be vacant 5 days prior to close of escrow unless otherwise agreed in writing". It warns that the seller may be in breach of the agreement if he does not do so. Check with your agent.
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James Gordon…, Agent, Hamilton, OH
Mon Aug 2, 2010
Randy short and sweet. Check your purchase contract or call your Realtor®.
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John Juarez, Agent, Fremont, CA
Sun Aug 1, 2010

It troubles me that you need to ask this question. As you can see from the posts below, the answer should be easily found in the purchase contract. So…did you ask you agent this question? If you did, you should have gotten the same answer that others have provided here. If you got a different answer, maybe you should check with your agent’s broker for a second opinion.

I hope you are being represented by your own agent and not the sellers agent.
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Sandy Carroll, Agent, Seal Beach, CA
Sun Aug 1, 2010
What does your contract say? If you are asking us here, then your agent isn't available? Someone familiar with your contract needs to advise you. There is a solution, perhaps it is already covered, if not, then you will need to renegotiate and determine if the house is worth it if you face the possibility of having to evict the tenant after it closes. Contact the broker where the agents works, they are actually the "boss" of your agent. Most all brokers will gladly help you, if the relationship with your agent is less than wonderful. You will have to do that at some point anyway if there is a problem It is common for someone to stay there until the last minute, there may not be a problem.

With all respect to the agent from Florida, CA is different, we don't use attorneys unless there is a potential of litigation and that is usually after escrow closes. There is no "closing table" here. Escrow handles all the flows of funds and paperwork as it arrives and transfers money and paperwork to the parties. I'm assuming you aren't licensed in CA or you would know that. I'm trying to say that nicely, It is totally different in California. Realtors do what your attornies do apparently. The parties never meet physically together here except by chance. Everything transferred in bits and pieces throughout escrow. Please no comments on how odd that is, it works for us.
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Laurie Manny, , Long Beach, CA
Sun Aug 1, 2010
Your purchase contract should have clearly stated that the home is to be delivered vacant. If your contract does not clearly state this and the seller does not agree to sign an addendum agreeing to this then you are not guaranteed a vacant delivery of the home. Hopefully you have not removed your contingencies if your contract did not clearly state this. If you have not removed your contingencies and your contract is missing this important verbiage you can cancel the contract or use the removal of contingencies as leverage to negotiate with the seller to have that verbiage added into the contract by way of a contract addendum. Do not remove your contingencies without having this verbiage added unless you are willing to take possession of the home tenant occupied.

You did not state if this is a standard sale, short sale or a bank owned home. In some cases there is a 90 day eviction process that can be negated if the proper forms are not used. Very few agents are aware of the new 90 day eviction process and the forms that required, this will require a bit of research by your agent.

If you find that the tenant is entitled to a 90 day eviction process then you may be required to take possession per the terms of the contract, it can get sticky. You will have to either renegotiate the terms or cancel the contract if it is a 90 day eviction. Again, do not remove your contingencies until you are certain of the terms of the eviction.

A standard California Association of Realtors (CAR) purchase contract provides you with a final walk through 5 days before close of escrow. If the home is not vacant at that time you can refuse to close until it is made vacant, if you have stated in the terms of your accepted purchase contract that it is to be delivered vacant.

If you are purchasing a bank owned home you have likely signed a rather long bank addendum. Each banks addendum's are very different from each other. These addendum's negate most of the terms of the CAR contract and replace those terms with terms of their own. What does this mean to you? This means that the normal terms of the CAR contract are replaced by the terms the bank has laid out.

If you are involved in purchasing a bank owned home you should review both your purchase contract for the initial terms that you presented as well as reviewing the bank addendum for the terms that they may have negated and replaced.

Without knowing the type of purchase you are making and the terms of the contract and/or addendum it is impossible to advise you in any but a very general manner.

I wish you the best of luck in your purchase and hope you experience a successful close of escrow and many happy years in your new home.

Laurie Manny
Main Street Realtors
0 votes
Sylvia Barry,…, Agent, Marin, CA
Sun Aug 1, 2010
Hi Randy:

In CA purchase contract, the default is that for tenant occupied property, the house has to be vacant 5 days prior to close of escrow, otherwise, the seller is in breach of contract.

However, it does not mention the consequence to seller shall that happen.

If you are worried about this, you should be able to ask your agent to draw up an addendum to address this - first to make sure notice has been given to tenant about the fact that they need to move (I think CA requires 60 days notice), and also ask to inspect the property 5 days before close of escrow, as well as spelling out consequences to seller if that does not happen (maybe close of escrow later? Have seller pay lodging - assuming you are moving out ontime and now have to wait somewhere), etc.

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Chad Pape, Agent, Irvine, CA
Sat Jul 31, 2010
Typically speaking the agent or your agent will write those conditions in the offer and counter offer. But this is loaded question. I would consult your agent then I would verify it with the escrow to make certain that it is written in the deal. If your still uncertain then have your agent talk with his real estate attorney. Lastly, it could be as easy as adding an addendum that the tenant leaves at the close of escrow--signed by all parties buyer seller and tenant. --I wish you lots of luck
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Scott Miller, Agent, Boca Raton, FL
Sat Jul 31, 2010
Hi Randy. Two things: I hope you have an attorney to do your closing and advise you before you get to the finish line.

And, did you make sure there was language in your offer that specifically said that the property would be vacant when you took possession?


Scott Miller, Realty Associates, Boca Raton, FL
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