Looking for any tails of anyone's experience of the above. My son is about to enter the minefield of buying his first home. A couple of the properties he is looking to view have tenants in situ. He doesn't know this as yet as he is young and green, I only know because I enquired with the agents. The response I recieved from the agent was "that's not a problem they will move out after the sale", now I've never rented from a landlord or been a landlord. Also I have never truely trusted what an Estate Agent tells me. What is really involved with all this game of tenant/landlord/buyer in real life? Anyone any experience from any past dealing from any side of the fence?
Presuming your son wants to move straight in then he should be buying with vacant possession. Doesnt sound like you have seen the tenants agreement so who knows what it says and what the tenants rights are. Dont trust the agent but get conveyancing solicitors advice .
Check if the tenants have been give a statutory notice to vacate. This can take up to 2 months depending on when they received it or if they are in arrears with their rent. Arrange completion to coincide with the tenants end date. As with all cases like this a consultation with your solicitor would be a sound investment.
Did the Estate Agent really say that ? I mean really ? come on if he did? walk away now but somehow I doubt he did....ps I own Rental properties so have a little experience
If the Tenant is still in there when he exchanges your son will be responsible for the Landlord Insurance to protect those Tenants, Safety etc etc not to mention rent he will need to declare even if its only a weeks worth. Tenants need to be served a notice and be out before Exchange ask to see the Notice of Eviction
You say “buying his first home” but go on to mention “sitting tennants”, “renting” and “landlords”. If he is renting, under no circumstances should he enter into a tennancy agreement until the current tennants have moved out, end of story. It is now very time comsuming and costly to evict tennants from a property, regardless of the reasons. Vacant possesion is what he should be looking for. If he is looking to buy a lease hold property, the pitfalls are too lengthy to go into here but as an ex lease holder, I’m happy to talk off line if it will help. Several of my retired friends rely on buy to let properties to fund their lifestyle in retirement and without exception, every agent they have dealt with have been blood sucking chancers looking to line their own pockets without a care for the landlord or tennant. Your son should also be extremely wary of landlords letting properties that they do not own. In a sub let, the tennant is at the bottom of the pile. Good luck with your search though . Andy
Also if the tenants are in occupation after completion they will become tenants of the new buyer and therefore would require a minimum contract of six months, prolonging the ordeal further. You would also need to re register the held deposit. As said, all this would be clearly explained by a competent solicitor who specialises in landlord/ tenant issues. Best of luck.
Sitting tenants are fast becoming a thing of the past and I don't think it was mentioned by the OP. Vacant possession can be very amicable if the current tenants are wiilling to vacate at the end of their notice.
Many thanks for the replies. Since posting the question I have been doing some googling. Fortunately I have been lucky with my property dealings but I along with every parent would not want their offspring to walk into what could be a very expensive and or legal problem. Sure he won't go in blind but in his area property is not cheap so every penny saved/borrowed will be channelled into his future home and NOT dealing with other peoples problems that he can do without. Just be nice if agents acting for tge vendors were up front to start with. And yes the agent did say that, so will be some grilling to do if anything happens after viewing.
They need to move out prior to completion surely. I had a tenant (a mate) in a flat I was selling. He had to sign a statement saying he would leave for my Solicitor. Can't remember the ins and outs as it was about 10 years ago but want an issue for the Estate Agent as if so he would have moved out prior to listing.
He's looking to buy a freehold house to live in himself. So yes if he settles for somewhere it will be sold subject to vacant possesion. It's been a slog saving for a good deposit so thanks for the advice.
Just make any offer you make conditional upon vacant possession before you exchange documents - give the headache of dealing with the tenants to the vendor
Once the contracts are signed and the agent has your money just watch how much he cares about getting rid of the tenant! As said above, vacant possession before signing or walk away!
Estate agents lie, a lot. If it's his first home purchase it's going to be stressful as it is and the last thing he needs when he turns up with his belongings at the front door is a lodger saying I ain't going nowhere.
I sold a flat about 10 years ago. It was one of my rental properties and I was advised by my conveyancing solicitor to have it vacant. I was messed about by the investment buyer (part of his pension plan) for so long I eventually rented it back out. Despite protests from both my and his solicitors the deal eventually went through and we ripped up the old tenancy agreement and he signed a new on with the new landlord. I got to kep the £600 deposit as a finders fee. No mortgages involved, so that meant it was basically a three man deal.
