A buyer moves into a seller's property two weeks before escrow closes. The buyer would most likely be a(n)?

Study for the California Real Estate Broker Exam. Utilize flashcards and multiple choice questions, each with hints and explanations. Prepare efficiently and effectively for your licensing exam!

When a buyer moves into a seller's property before escrow closes, the most appropriate designation for that individual is as a tenant. In this situation, the buyer has taken possession of the property but has not yet officially taken ownership, as the transfer of title has not occurred. The implication is that a rental arrangement may be in effect, wherein the buyer effectively becomes a tenant under the terms of a temporary occupancy agreement, allowing them to live in the property while finalizing the purchase process.

This arrangement helps to facilitate the buyer's immediate use of the property, while the seller still retains legal ownership until the escrow process is completed. Such arrangements often include provisions for payment of rent or other considerations for this early occupancy. Since the buyer does not hold full ownership rights yet, describing them as an owner would be inaccurate at this stage. Similarly, defining the buyer as an investor or occupant lacks the specific context that the arrangement entails a vendor-buyer relationship resting on temporary rental terms. Thus, tenants are more accurately described as individuals who occupy a property under a rental agreement, even if it’s informal, before the sale is officially processed.

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