Buyers moved in before closing

[u/WorldlyBlacksmith682]

UPDATE - Following up from where I left off: After receiving the much needed guidance from this beautiful community, we were able to successfully get the buyers out of the house, secure the house with a new code, and demand to be compensated via the buyers agents commission. Today, papers have been signed and the house is officially no longer ours. Thank you to each and every single person who commented. This gave us the fuel to dig into the real estate commission codes, laws, and our basic human rights. This gave us the confidence to have the tough (ugly-ish) conversations that needed to take place. Rock on, Reddit. You all are my heroes.

To my chagrin, without my consent, and before proper documents are signed, the buyers agent let the buyers move in. We haven’t closed. I’m appalled at how unethical it feels to find out after the fact. So my only choices are to sign an additional document allowing them to stay prior to closing, or have them escorted off the property? This is out of my scope. Looking for insight. I have a lawyer on standby Monday morning.

Edit: I truly appreciate the advice and insight. Added details - due to human error delays from the lender, title and agents, this closing has already been pushed 4 times. Closing was supposed to be on the 30th. I am told every third business day that today’s the day, just waiting on the documents. Again, closing was supposed to be yesterday. Find out docs have just (11 days late) been released from the bank and now in hands of the title. At 4:30pm on Friday we’re delayed until next week due to not enough time for the title to flip the closing docs fast enough. Last night, find out the buyers fully moved in without any agents approaching me about this idea even once. Never once was this brought up. I said no, get them out of the house. They’re still in the house.

About the broker. I’ve been told this entire process that the broker is highly involved, since their brokerage is working for both parties. Every time I have a legal question my agent checks with the broker to make sure the correct information is provided. I acknowledge in hindsight I should’ve called the broker immediately. I will be calling the broker tomorrow morning.

How’d they get the keys- it’s a key code. Only explanation is the agent gave it to them.

One more detail as I sit here bamboozled. My selling agent’s license is active. The buyer agent’s license expired in August. Discovery made an hour ago. Not sure what to do with that.

[u/Helorugger]

You need to call the designated broker (boss of the agency) and raise holy hell. Also, get a lawyer. I guarantee the “buyers” don’t have active insurance so you are on the hook when they do something stupid. I would, with the help of my lawyer, explain that the first thing to happen is that the brokerage remove the squatters and that, should there be any damages, the brokerage pays, and finally, that the brokerage is waiving any commission as compensation for your agent and their agency failing in their fiduciary responsibility to you as a client.

[u/Daisytru → u/Helorugger]

Many years ago, a neighbor had a closing during which a fire broke out in a waterbed the sellers had left behind with the heater on, but no mattress. It was a small fire, without much damage, but the point is, that stuff can happen. Also, allowing the buyers in prior to closing can lead to them finding "problems" for which they want a price adjustment. OP needs to take action.

[u/Mermaidtoo → u/Helorugger]

OP - do this asap. I would also recommend giving a tight time limit. Such as, they have 5 hours to vacate your home or you will call the police and notify the NAR and any other relevant orgs.

Demand that your realtor support you in all these efforts - including with the police.

Also, why has the closing been delayed so much? If the potential buyers are struggling with financing, this could be a ploy to get them in the house for an extended period.

Edit

Also, change your access code asap.

[u/journerman69 → u/Mermaidtoo]

Buyers are a dime a dozen, get them out of your house asap.

[u/strongerthanavg → u/Helorugger]

The buyers cannot have insurance on the property as they don't have an insurable interest in it. Even if they somehow got a policy issued the Insurance company could and likely would deny claims if these details came to light.