closing
transfer of possession
The point at which the buyer gains the right to occupy and use the property, usually at closing or on a date set in the purchase contract. Agreements may allow a seller to stay after closing (rent-back) or a buyer to move in early, which should be documented in writing to address rent, insurance, and liability.
- Exam tip
- Possession and title often transfer at the same time but do not have to. Early or late possession should be covered by a written agreement.
- Example
- The contract states the sellers may remain in the home for 7 days after closing at $100 per day, and keys are handed over on day 8.
Related terms & state variants
Sources
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Last verified: 2026-10-23