Tenants and Exchange of contract

timmyt

chappers wrote: »

I would be very wary of exchanging under these circumstances.

Hypotheticaly speaking what would happoen in the followinfg scenario.

Mr x owns a property which he is selling to mr y, they exchange contracts on the 1st with a veiw to completing on the 20th(mr y's mortgage offer expires on the 21st).
on the 20th mr x's tenants are still in occupation, so he cannot give vacant possesion.
Mr y's solicitor then serves a notice to complete on the 20th giving the vendor 10days to complete, on the 22nd the vendor has vacant possesion and is in a position to complete but mr y can no longer secure a mortgage and cannot therefore complete.
Who is at fault?

No one is seriously saying to exchange without the tenant out first are they, that is the point, your example just proves the point.

Mr Y would be an idiot to complete a day before his mortgage offer expires when there is a tenant in too.

leanne86

Just an update really. It was a stressful few weeks, between exchange of contracts and completion, i was reluctant to make any purchases or arrangements just incase the tenants didn't move out. However, they did move out a week before completion, the letting company cleaned the property from top to toe for us and it was in a lovely condition for our completion day. They had left the fridge, washer, blinds, curtains, lamps and carpets. None of which were in the fixtures and fittings form, however this worked out great for us as we would have had to buy it all ourselves. A few hiccups in the early days, we decorated the house to then find the day after water leaking through the wall, and Mr plumber had to knock a hole in the bedroom floor and nicely painted bathroom wall! I wasn't impressed at the time but all resolved now. Exactly why you need that emergency pot of money, just incase! One thing that i very pleased with, and unexpected. It is such a lovely little cul de sack. Neighbours were coming round in the first 2/3 days offering us cups of tea, and a helping hand. Another neighbour freshly baked some flapjack to welcome us to the neighbourhood! Didn't think places like this existed any more. We've built our garden shed today and the neighbours spent hours round here with us in the rain helping out! Overall really pleased and glad we made the jump

Thanks everyone for the earlier advice, all much appreciated.

clutton_2

so glad you got an excellent result - i hope you will be happy there....