FAQ: What is a leaseback?

You made a killer offer and the sellers are on board. There’s just one hiccup. They need to hang around town for several more months. You don’t want to lose the house and you’re willing to be flexible. The solution? A leaseback. ⁣
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A leaseback is an agreement between the new owner of a home and the former owner that rents the house back to the owner for 30-, 60-, or 90- days. While a leaseback clearly benefits the seller, willingness on a buyer’s end can be a powerful bargaining chip in the current competitive housing market. ⁣What's more, the seller also benefits from no longer being responsible for ownership costs, like taxes and maintenance expenses.