Under the TREC contract, if the buyer takes possession before closing through a Buyer's Temporary Residential Lease, and the transaction fails to close, the buyer must:
Correct Answer
A) Vacate the property as required by the temporary lease terms
If the transaction fails to close, the Buyer's Temporary Residential Lease terminates, and the buyer must vacate the property as required by the lease terms. The buyer has no right to continue possession.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Consideration is something of value exchanged between parties to a contract, making the agreement legally binding. It can be money, a promise to act, a promise to refrain from acting, or anything else of value.
Contingencies are conditions written into a real estate contract that must be met before the transaction can close. If a contingency is not satisfied, the buyer can typically cancel the contract without penalty.
Contract termination occurs when a contract is ended or discharged, releasing both parties from their obligations. A contract can be terminated through performance, mutual agreement, operation of law, or breach.
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