Exchange before xmas but owners not moving out till new year?

saxo_sazzle

I'm in the last stage of buying a house, we exchange on Tues basically. I live at home, so i don't have to move out straight away, but thats beyond the point. My problem is that my solicitior has just called to say the owners want to exchange before xmas, to make sure we don't pay the stamp duty but not move out till 4th Jan ... this he wants me to recieve rent from them for, to the value of how much i would be paying for my mortgage . I want someone to look at the electrics etc before i move in and they could have done that next week, but now they can't if the people are still going to be living there plus they can't get time off after next week. This is going to inconvenience me and the owners are the winners out of this. What should i do? Let them stay or tell them they have to stick to their original request to move out before the 24th?? Its ok according to solicitor but mortgage company won't like it plus there is the issue of insurance etc etc....

I've looked on the internet and seen in USA they do something like this, called preforeclosure? What is this transaction actually called and have you heard of this happening before?

I'm stressing now Eeeeek.

Thanks!

:money:

lfc321

Do you mean you exchange on Tuesday or do you mean you complete on Tues? If exchange then no problem - you can comlpete when they're ready to go.

caeler

This doesn't sound great IMHO. I think your solicitor has asked you to exchange and complete before the end of the year but for them to continue living there until an agreed date. I appreciate it must be hard moving over xmas but I think this is what they have to do!

What happens if they don't move out of your house? Have they brought somewhere to go to, or were they planning to move into rented anyway? When do they propose to now move out in the new year? Why do they need more time, is it just to avoid xmas and new year?

rsykes2000

If you mean complete before the end of the year then you won't have to pay stamp duty. However if you exchange this year and complete next year you will have to pay stamp duty as it is the completion date that matters, not the exchange date.
However, I certainly would not let someone live in my house that I owned in this manner, you have no idea what they will do and you could face legal difficulties if they refuse to move out when you want them to / you both agreed previously.

saxo_sazzle

Oh yeah i mean, the money part of it.. so completion? so that i don't have to pay the stamp duty.. I'm a first time buyer, i don't know anything about this stuff. You're right, what if they don't get out when they say etc etc... I don't want trouble i just want to have a smooth transaction.

Thank you MSE community! I kind of wanna jump around all happily in my very own new house before new year anyway, i'll tell my solicitor to tell them to get out I think!! :beer:

saxo_sazzle

This situation has got so much worse now. I told the solicitor i want them to get out now. He said they were not going to move out till 4th and they are not willing to pay any rent towards staying at the house if they did stay, but will do the money stuff on the 23rd to save paying stamp duty.

I'm going to tell my solicitor i'm going to pay the stamp duty and exchange on 4th, which means they have to pay stamp duty at their end too, sod it!! £1500 more on my costs means they don't live in my house over a week for free just because they have changed their minds about the date they want to move out then thats fine with me!

I feel sick How can they say they want to live in a house that would be legally mine, for free????? What if they didn't let contractors in? What if they didn't move out.. they have squatters rights?! It then turns to sueing someone, not conveyancing! = more costs! This is a nightmare. Why does nothing i ever do go right?

roses

What happens if they refuse to complete if they can't stay? Does that mean you will have to pay stamp duty (£kkk) if the sale is delayed?

pelirocco

saxo_sazzle wrote: »

This situation has got so much worse now. I told the solicitor i want them to get out now. He said they were not going to move out till 4th and they are not willing to pay any rent towards staying at the house if they did stay, but will do the money stuff on the 23rd to save paying stamp duty.

I'm going to tell my solicitor i'm going to pay the stamp duty and exchange on 4th, which means they have to pay stamp duty at their end too, sod it!! £1500 more on my costs means they don't live in my house over a week for free just because they have changed their minds about the date they want to move out then thats fine with me!

I feel sick How can they say they want to live in a house that would be legally mine, for free????? What if they didn't let contractors in? What if they didn't move out.. they have squatters rights?! It then turns to sueing someone, not conveyancing! = more costs! This is a nightmare. Why does nothing i ever do go right?

They can not stay in the house after completion , are you sure you have it right?

roses

saxo_sazzle wrote: »

This situation has got so much worse now. I told the solicitor i want them to get out now. He said they were not going to move out till 4th and they are not willing to pay any rent towards staying at the house if they did stay, but will do the money stuff on the 23rd to save paying stamp duty.

I'm going to tell my solicitor i'm going to pay the stamp duty and exchange on 4th, which means they have to pay stamp duty at their end too, sod it!! £1500 more on my costs means they don't live in my house over a week for free just because they have changed their minds about the date they want to move out then thats fine with me!

I feel sick How can they say they want to live in a house that would be legally mine, for free????? What if they didn't let contractors in? What if they didn't move out.. they have squatters rights?! It then turns to sueing someone, not conveyancing! = more costs! This is a nightmare. Why does nothing i ever do go right?

Good for you, you are doing the right thing. If they pay stamp duty too then maybe it will kick them into some logic that they have to move out.

kmmr

Personally I wouldn't dream of letting them stay after completion. Even if they did stay and pay you a little rent for the time period, you can accidently create a tenancy agreement, which means you may have to go through the courts to get them out.

Why would they have to pay stamp duty if you complete on the 4th? Are they in a chain and buying? If so - why can't they move into their new house on the day of completion?!

Anyway, remeber the last negotiating points are always stressful, and somehow always feel rushed. Don't get too stressed, it's just negotiation... you will get there...

saxo_sazzle

Ok Pelirocco i mean exchange, not completion. Sorry!

Roses, yes I think so as long as in the mean time they don't smash the place up or take out the nice units/oven and replace with crap ones??

Its more money for me but also for them if i say this. If they don't want to pay stamp duty they'll have to move out next week won't they!!