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SB 1684

SB 1684 - This act creates the "Missouri Residential Sale Leaseback Protection" act, which regulates sale leasebacks. A sale leaseback is defined as a transaction or series of transactions in which a seller sells residential real estate that is or was the seller's residence to another party and, as a condition of the sale, or as part of the same or a related transaction, enters into a lease or rental agreement to remain in or re-occupy the property. In any sale leaseback transaction, a buyer is required to provide the seller with certain disclosures, described in detail in the act, alerting the seller of the nature of the transaction and advising them of certain actions they may wish to take. The disclosure must be provided to the seller not more than 10 days and not less than 3 business days before the execution of any sale leaseback agreement, and the disclosure shall be signed by both the seller and the buyer concurrently with the execution of the sale leaseback agreement. A seller who is party to a sale leaseback agreement has the right to cancel any such agreement prior to the transfer of title, but in no event earlier than thirty days after execution of the sale leaseback agreement, without penalty. Violation of this act is subject to a fine of up to $10,000 per violation. The Attorney General is permitted to enforce this act by bringing a cause of action seeking injunctive relief, civil penalties, and restitution. A seller is also permitted to bring a civil action if harmed by a violation of this act. A seller may recover actual damages, statutory damages up to $10,000, attorneys' fees and costs, and any equitable or injunctive relief. This act may not be waived or modified by agreement of any party. This is substantially similar to provisions in in the truly agreed to SS/SB 834 (2026), the truly agreed to CCS/HCS/SS/SCS/SB 973 (2026), the truly agreed to SS/HB 2636 (2026), and the perfected SS/SCS/SB 1001 (2026). SCOTT SVAGERA

2026 Regular Session

SB 1684 requires clear disclosures, allows seller cancellation before title transfer, and delays closing to protect homeowners in sale-leaseback deals with penalties for violations

Second Read and Referred S General Laws Committee
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Bill Summary · SB 1684

Summary of SB 1684 (Missouri, 2026)

Purpose and intent

SB 1684 creates the Missouri Residential Sale Leaseback Protection Act. The core aim is to regulate sale-leaseback transactions involving residential real estate and provide disclosures, protections, and remedies for sellers who lease back their homes after selling them.

A sale leaseback is defined as a transaction (or series of related transactions) in which a seller sells a residence (one to four units) and, as part of the same or related arrangements, enters into a lease or rental agreement to continue living in or re-occupying the property.

Key provisions and changes

  • Disclosure requirements (buyer responsibilities)

    • In every sale leaseback, the buyer must provide the seller with a single-page disclosure, printed in bold and delivered on clear and conspicuous terms.
    • The disclosure must include explicit warnings about the nature of the transaction, potential consequences (loss of home ownership, eviction risk for non-compliance with lease terms, potential loss of buy-back rights), effects on credit, taxes, and legal rights, and recommended consultations (attorney, real estate agent, housing counselor, tax advisor, appraiser).
    • The disclosure must be provided no more than 10 days and no fewer than 3 business days before signing the sale leaseback agreement.
    • The disclosure must be signed by both the seller and the buyer at the same time as the sale leaseback agreement.
    • A copy of the signed disclosure must be provided to the seller within 5 days after signing.

  • Cancellation right for sellers

    • A seller has the right to cancel the sale leaseback agreement prior to the transfer of title, but not earlier than 30 days after the agreement’s execution, without penalty.
    • If cancellation occurs, all payments exchanged between the parties must be refunded, and the agreement is voided. The seller’s cancellation rights cannot be waived.

  • Timing before closing

    • No transfer of title may occur until at least 30 days after the sale leaseback agreement is executed.

  • Enforcement and penalties

    • Violations can incur civil penalties up to $10,000 per violation.
    • The Missouri Attorney General may enforce the act through injunctive relief, civil penalties, and restitution.
    • A seller harmed by a violation may bring a civil action to recover:
    • Actual damages
    • Statutory damages up to $10,000 (in addition to actual damages)
    • Attorney’s fees and costs
    • Equitable or injunctive relief

  • Non-waivability and modification prohibition

    • No provision of the act can be waived or modified by agreement.
    • Any agreement provision executed, modified, or extended after the act’s effective date that attempts to alter the duties or remedies under the act is void ab initio and unenforceable.

Who is affected

  • Sellers of residential real estate (1–4 units) who enter into sale leaseback arrangements.
  • Buyers/Participants in sale leaseback transactions (who must provide disclosures and comply with the act).
  • Attorney General and courts for enforcement, injunctive relief, and restitution mechanisms.
  • Potentially affected third-party advisors (attorneys, housing counselors, tax advisors, appraisers) due to the required disclosures and recommended consultations.

Procedural and timeline aspects

  • The act requires disclosures to be prepared and delivered within a specific window (3–10 business days before signing; signed at execution; copy to seller within 5 days).
  • Title transfer and closing must be delayed by at least 30 days after the sale leaseback agreement’s execution.
  • The cancellation window runs from the 30-day mark after execution up to closing, with a written cancellation notice and full refund of all payments if exercised.
  • Effective and enforceable provisions cannot be waived by contract, ensuring ongoing protections for sellers.

Overall impact

SB 1684 provides structured protections for Missouri homeowners considering sale-leaseback arrangements. It emphasizes informed consent through mandatory disclosures, preserves seller flexibility to cancel, extends a cooling-off-like period before closing, and establishes clear penalties and enforcement mechanisms to deter and remedy abuses.

Compiled from official sources — confirm details with the bill’s official record.

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