How Sell & Stay Works
Sell and Stay is a residential sale leaseback program. At its most basic, that means you sell your house to us, then rent it back. How exactly does that work? Read on to better understand each step of the Sell and Stay process.
You Fill Out the Form to See If You Qualify for Sell & Stay
While we don’t require your credit score or a certain amount of income, we do need to make sure that your home qualifies for our program. You fill out the qualification form and we’ll let you know in short order whether you’ll be able to participate in the program.
We’ll Write Up a Contract
If you decide Sell and Stay is for you, we’ll write up sale and lease contracts. This basically combines the processes you’d go through while selling and renting a home, making one conditional on the other. We can close on the sale and leaseback in as little as 21 days. While you don’t need to get a lawyer to represent your interests, we highly suggest that you do.
We Cut You a Check for Your Equity
We pay you a large portion of your home equity. Your home equity is the money that you have invested in your home, the difference between your home’s market value and the amount you owe on your mortgage.
You Are No Longer Obligated to Your Mortgage Company
When you sell your home to us with Sell and Stay, you no longer have a mortgage or therefore a mortgage payment. We own your home and that means you don’t have mortgage debt. However, you’ll have to pay rent every month just like you would if you rented any other home.
You Continue Living in Your Home
When you take part in EasyKnock’s Sell and Stay program, we write up a lease contract while we’re working out the details of buying your home. The two go hand in hand. One of the conditions of you selling us your home is that we are obligated to rent it back to you so long as you hold up your end of the lease contract. It’s essentially the same as renting any other home, except it’s the home you used to own.
While you’re living in the home under the lease agreement, EasyKnock will cover the property taxes. You are required to handle basic maintenance on the home like lawn care, snow removal, and appliance maintenance. You don’t need home owner’s insurance any more, but we recommend that you get a renter’s insurance policy to protect your belongings.
You Can Move or Buy Back Your Home at Any Point
If you decide you don’t want to live in the home any more, that’s alright! You just give us permission to put the home on the market and we’ll give you the difference between your initial equity check and the sell-out value. You don’t even necessarily have to turn over control over the selling process. If you want, you can set the value, choose the realtor, and make other decisions pertaining to the selling of the home. We let you out of remainder of the lease if you sell early.
You can also buy your home back. You’d pay us a cost laid out in the initial contract either in cash or by getting a new home loan. You’d no longer be obligated by the lease, and you’d own your home again.