TREC No. 15-7

Seller's Temporary Residential Lease — Page by Page

Used when Seller stays in the property for up to 90 days after closing — Buyer becomes Landlord, Seller becomes Tenant, translated into plain English.

The Biggest Thing to Remember

After closing, the roles flip: Buyer = Landlord, Seller = Tenant. The Seller no longer owns the house after closing but is temporarily renting it back from the Buyer. Use this form only when Seller’s post-closing occupancy will be 90 days or less.

§3 Termination DateThe exact day Seller must be completely moved out — not "about two weeks."
§4 vs §19 Daily Amounts§4 is normal rent while Seller is allowed to stay; §19 is a separate (often higher) holdover damages rate if Seller stays after the lease ends. These can be different numbers.
§5 DepositPaid at funding; unused portion refunded within 30 days after BOTH possession is surrendered AND Seller gives a forwarding address in writing.
§16 InsuranceSeller remaining in possession as Tenant may change insurance coverage — both parties should consult their insurance agent.

The Most Important Blanks at a Glance

The easiest way to remember the whole form:

§1Landlord = Buyer, Tenant = Seller
§3Move-out (termination) date
§4Normal daily rent
§5Deposit
§6Utilities exception Landlord pays
§8Pets Seller is allowed to keep
§11Special Provisions
§19Holdover damages per day if Seller stays too long
§24Notice information for both parties

Buyer bought the house → Buyer is now LANDLORD. Seller sold the house but stays temporarily → Seller is now TENANT. Paragraph 3 = move-out date. Paragraph 4 = normal daily rent. Paragraph 5 = deposit. Paragraph 19 = penalty/damages for staying after the lease ends. If Seller remains beyond the termination date, the lease does not automatically extend — it becomes a tenancy at sufferance and the Paragraph 19 holdover rate applies.

Page 1

Parties, Term, Rent, Deposit, Utilities & Pets

§1 Parties

  • Landlord: ______ — enter the Buyer’s name(s). After closing, Buyer owns the property and becomes the landlord.
  • Tenant: ______ — enter the Seller’s name(s). Seller is staying in the property temporarily after selling it.
Easy memory: Buyer = Landlord, Seller = Tenant. This reversal is one of the most common things to watch on this form.

§2 Lease / Property Address

  • "Property known as ______" — enter the street address of the property that was sold. Example: 123 Main Street, Houston, TX 77000.
  • This ties the temporary lease to the purchase contract between Buyer as Landlord and Seller as Tenant.

§3 Term

  • The lease begins automatically when the sale closes and funds — you do not fill in a beginning date.
  • "Terminates ______" — fill in the exact date Seller must be completely moved out.
Use an exact termination date, not an approximation. This form is intended only when Seller remains 90 days or less after closing. The holdover provisions in §19 apply if Seller stays past this date.

§4 Rental

  • "Tenant shall pay Landlord $_____ per day" — the daily rent Seller pays Buyer for staying after closing, excluding the day of closing and funding itself.
  • The full rent for the entire term is paid at the time the sale funds — Seller does not normally pay a little each day.
  • If the lease ends early due to Tenant’s default or voluntary surrender, Tenant is NOT entitled to a refund of rental — don’t assume leaving early means getting days of rent back.

§5 Deposit

  • "Tenant shall pay Landlord $_____" — a security deposit paid at the time of funding, separate from the daily rental amount.
  • Landlord may use it to satisfy Tenant’s obligations under the lease.
  • Landlord must refund any unused portion, with an itemized list of deductions, within 30 days after BOTH Tenant surrenders possession AND Tenant gives Landlord written notice of Tenant’s forwarding address.
Practical point: Seller should provide the forwarding address in writing — otherwise the 30-day clock is tied to that missing step.

§6 Utilities

  • "Tenant shall pay all utility charges except ______, which Landlord shall pay" — identify any utilities Buyer/Landlord agrees to cover.
  • Seller pays all utilities unless a specific exception is listed here.

§7 Use of Property

  • Tenant may use the property only for residential purposes. Tenant may not assign the lease or sublet any part of the property — Seller can live there temporarily but cannot rent it out to someone else.

§8 Pets

  • "Tenant may not keep pets on the Property except ______" — list any pets Seller/Tenant is allowed to keep.
  • If nothing is listed, Tenant may not keep pets on the property at all.

§9 Condition of Property

  • No fill-in blank. Tenant accepts the property in its present condition at the start of the lease.
  • Upon termination, Tenant must surrender it in the condition required under the purchase contract, except for normal wear and tear and casualty loss.

§10 Alterations

  • No blank. Seller/Tenant may not alter the property, or install improvements or fixtures, without Landlord’s prior written consent.
  • Any improvements or fixtures placed on the property during the lease become Landlord’s property.

§11 Special Provisions

  • A large blank for special terms the parties actually agree to. Custom wording can create legal rights and obligations, so this is not a place to casually invent complicated legal language.

§12 Inspections

  • No blank. Landlord may enter at reasonable times to inspect. Tenant must provide door keys and access codes so Landlord can access the property during the lease.

§13 Laws

  • No blank. Tenant must comply with applicable laws, restrictions, ordinances, rules, and regulations affecting the property — Seller doesn’t get to ignore HOA rules just because the stay is temporary.

§14 Repairs and Maintenance

  • Except as otherwise provided, Tenant bears the expense of repairing and maintaining the property, including the yard, trees, and shrubs, subject to what the Texas Property Code requires.
  • Tenant must promptly repair, at Tenant’s expense, damage caused directly or indirectly by Tenant or anyone other than Landlord, Landlord’s agents, or invitees.
Page 2

Insurance, Default, Holdover & Notices

§15 Indemnity

  • No blank. Tenant indemnifies Landlord from third-party claims for injury or property damage arising from Tenant’s use or occupancy, including attorney’s fees, costs, and expenses incurred by Landlord.
This is legal-liability language — unusual indemnity questions may need attorney review.

§16 Insurance

  • No fill-in blank. Both parties maintain insurance they consider appropriate during the lease.
  • Important warning printed in the form: possession of the property by Seller as Tenant may change insurance policy coverage — consult your insurance agent.

§17 Default

  • No blank. If Tenant fails to comply with the lease, Landlord may give notice. If Tenant then fails within 24 hours after notice to begin and diligently pursue correction, Tenant will be in default.
This is a short 24-hour default provision, not days or weeks.

§18 Termination

  • No blank. The lease ends when the Paragraph 3 term expires, or if Tenant defaults under the lease.

§19 Holding Over — extremely important

  • Tenant must surrender possession when the lease ends. If Seller stays after termination, Seller becomes a tenant at sufferance — the lease does NOT automatically renew or extend.
  • "Tenant shall pay $_____ per day during any possession after termination" — the holdover damages rate, in addition to any other remedies available to Landlord.
This is not necessarily the same amount as §4 rent. §4 = how much Seller pays while allowed to stay. §19 = how much Seller pays if staying when NOT allowed to anymore. Example: regular rent $100/day, holdover damages $500/day — different amounts if the parties agree to that.

§20 Attorney's Fees

  • No blank. The prevailing party in a legal proceeding concerning the lease may recover costs and reasonable attorney’s fees from the non-prevailing party.

§21 Smoke Alarms

  • No blank. Texas law requires Landlord to install smoke alarms in certain locations at Landlord’s expense.
  • Tenant expressly waives Landlord’s duty to inspect and repair smoke alarms — already printed language, not a checkbox.

§22 Security Devices

  • No blank. Texas Property Code security-device requirements do not apply to a residential lease for 90 days or less — matching this form’s intended short-term use.

§23 Consult Your Attorney

  • No blank. Reminds the parties that real estate licensees cannot give legal advice, and to consult an attorney before signing if the effect of the lease is not understood.

§24 Notices

  • All notices must be in writing. Complete both sides:
  • To Landlord (Buyer): Address, Telephone, Facsimile, E-mail.
  • To Tenant (Seller): Address, Telephone, Facsimile, E-mail.

Signatures

  • Landlord — Buyer signs. Landlord — second Buyer, if applicable.
  • Tenant — Seller signs. Tenant — second Seller, if applicable.
Remember: BUYER signs as LANDLORD. SELLER signs as TENANT.

Want the original PDF handy?

Open the actual TREC form alongside this plain-English guide.

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