The seller wants to remain in the property after the deed is signed: what should you consider?

Generally, the buyer receives the keys to the property when the deed is signed. However, the seller may remain in the property after signing. In this case, what needs to be considered? Is compensation possible?
We will clarify this in this article.

What arrangements must both parties make?

• They should remember to carry out an inventory of the property together at the time of the sale. Clear agreements regarding the condition of the property and any repairs that may be required will make the handover easier.
• The seller will be responsible for all costs for water, gas and electricity relating to their occupancy.
• The seller must have fire insurance for the entire duration of their occupancy. They must take out this insurance as an occupier rather than as an owner.
• A departure date for the seller must be agreed in advance by both parties.

Must the seller pay rent to the buyer for the period during which they occupy the property?

Rent, no. Compensation, yes!
It is important to distinguish between an occupancy agreement and a tenancy agreement to avoid being subject to residential tenancy legislation.
Please note that, for the buyer, this compensation is subject to personal income tax. The buyer will be taxed on part of the property's indexed cadastral income, increased by 40%.

Of course, the administrative rules differ across the three Regions.

In Flanders, it is now easier to require the seller to pay an occupancy fee. If no agreement has been reached regarding the fee, a “pro fisco” declaration containing an estimate of it will be included in the deed of sale. Please note that this declaration is not required if the seller remains in the property for less than one month.

In Wallonia and Brussels, the occupancy fee may be included in the sale price. However, it is often easier to agree on a separate occupancy fee because, if it is included in the sale price and the tax authorities consider the sale price to be too low, this could cause problems.