The Missouri Residential Sale Leaseback Protection Act (MRSLPA) took effect in Missouri last month, requiring buyers in residential sale leaseback transactions to provide sellers with written disclosures. The KCRAR Board of Directors approved this month a standard disclosure addendum available to members now in the KCRAR.com forms library.
While the intent of the law was to deal with wholesaling, the disclosure, and possibly the additional 30-day waiting period (this is up to the title companies’ interpretation), now apply to any leaseback of a property in any transaction, even if just a few days. The buyer in a leaseback transaction must provide the seller with a written disclosure at least 14 days before the sale leaseback agreement is executed. KCRAR has prepared the Missouri Residential Sale Leaseback Disclosure Addendum for KCRAR brokers who have not prepared their own disclosure and as an alternative option to the disclosure form available from Missouri REALTORS® (MR).
The addendum includes key informational disclosures, including:
- Signing means the seller will no longer own the home.
- The seller may be subject to eviction for violating lease terms.
- No sale leaseback can close for at least 30 days after signing.
- And more
Access the form now in the KCRAR.com forms library. The form will become available on Dotloop and formsRus in the coming days.
More information about MRSLPA requirements is available from MR.
