My parents sold their house but settlement has been delayed a number of times by the buyer. Now the buyer wants to move himself and his family into my parents house 2 days before settlement. They have requested my parents sign a License to occupy until settlement. What are the risks with a license to occupy? With the number of excuses already given, what happens if settlement gets delayed again and again and again?
Risk is mainly that they don't settle. If they don't you will have a big head ache getting them out. Especially so, if they change something or damage something and property is suddenly had its value affected and you need to find a new buyer...
Good advice @D.T. My advice to them is not to let anyone live in the property until after settlement.
It has had a full B&P with no issues but settlement could be delayed again then early next week, waddaya know, lots of 'issues' suddenly appear I will pass that on.
That won't deter them finding fault. They will then complain about things and want them fixed or price reductions etc.
Settlement was today, over 2 weeks past the deadline. I lost track but I think settlement was booked in 4 times or more then cancelled. My parents didn't end up letting the buyer move in early. Too risky. Thanks for all the great advice!
