It’s no surprise that with a the recent rise of home prices in San Jose, some home of our clients are considering a sale of their homes to take some profits in this market. In fact, according to California Association of Realtors California Home prices in Silicon Valley or Santa Clara County have increased about 24.3% compared to the same period last year.
But selling your own primary residence could pose an interesting life style changes specially if if you have kids who are attending some of the Silicon Valley’s best school.
Ironically, there are investors who are looking to invest in California market and these kind of sellers represent an ideal tenants where everyone involved would get what they want.
In this case the transaction would involve a typical Real Estate Sale transaction but the close of escrow would be subject to execution of a rent-back agreement and there is no possession of the property since the occupants will remain in the property as tenants. Here are the steps:
1) Purchase Agreement: Seller and Buyer agree on a purchase agreement.
2) Rental Agreement: New Owners and the Previous owners (Future Tenants) also ink a Rental Agreement to start at the close of escrow and subsequent recording of the new deed.
3) Close of escrow: COE would be condition of the the successful execution of the Rental Agreement.
Contact Us if you are interested in taking some profit from the current run of the Real Estate prices since we have investors looking for High-End Homes in Silicon Valley and they can buy your home while you take some profits.