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Buying a house with tenants

sun_tzu
sun_tzu Posts: 41 Forumite
in House buying, renting & selling
Hi,
I have been reading the forum with some useful posts.

One of the properties I am interested has tenants leaving this summer, I spoke to one of the tenants who wants to move out to his country.
Do you have any useful / links recommendations?

I mean:
- Could you write the contract stating that you become the owner from a given data subject to the prior tenants´ departure.
- How to avoid being liable from the Gas Certificate, deposit, repairs? Can you exchange contracts and then formalise the ownership once tenants have moved on?

Any piece advice / comment would be welcomed and appreciated.
Thanks all.
«1

Comments

  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    Unless you plan to continue renting the property out be very careful. If you plan to live there, you need to buy the property 'with vacant possession'.

    I would not even Exchange Contracts until the tenants have left. It is then the vendors reponsibility to manage the tenants' departure, not yours.

    Your idea to "write the contract stating that you become the owner from a given data (date) subject to the prior tenants´ departure." is effectively 'with vacant possesion', but it is a nightmare if on that date the tenants are still there. Yes, the vendor is in breach of contract but the practicalities ......

    Liability for "Gas Certificate, deposit, repairs?" only becomes you responsibility a) once you own the property (Completion) and b) if the tenants are still there. Then you have all the duties of a landlord. Including eviction which could take 6 months.

    As I said above "I would not even Exchange Contracts until the tenants have left." Vendors with tenants often are reluctant to do this (in case the sale falls through and they are left paying their mortgage with no rent coming in) but that is their problem and is simply an aspect of the business of renting proprty out.
  • foxwales
    foxwales Posts: 590 Forumite
    Buying a house with tenants, you become the landlord and are legally responsible for any problems that may occur and also all compliance in relation to law of property your tenants reside in.

    I would never ever consider buying a property with tenants.
  • tbs624
    tbs624 Posts: 10,816 Forumite
    Sun tzu - what is your solicitor doing to earn his/her money for acting for you on this purchase? This is precisely the sort of guidance s/he should be offering you as part of the work involved in buying this property.
  • sun_tzu
    sun_tzu Posts: 41 Forumite
    tbs624 wrote: »
    Sun tzu - what is your solicitor doing to earn his/her money for acting for you on this purchase? This is precisely the sort of guidance s/he should be offering you as part of the work involved in buying this property.


    Thanks all for your advice!!!

    I have not even made the offer. :)

    I am bit of a control freak so I want to analise everything from a different angle.
    If the offer is accepted then I will look for the solicitor.

    Should I do it the other way around? Then what happens if they reject my offer, do I still need to pay the costs?
  • Wee_Willy_Harris
    Wee_Willy_Harris Posts: 7,512 Forumite
    Before you consider the offer, just have a quick read through this board at some of the experiences landlords have had with tenants. Now, maybe your tenants will be perfect.... then again...... maybe not.
  • missile
    missile Posts: 11,806 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    sun_tzu wrote: »
    If the offer is accepted then I will look for the solicitor.QUOTE]

    You need to have a solicitor to make the offer on your behalf.
    "A nation's greatness is measured by how it treats its weakest members." ~ Mahatma Gandhi
    Ride hard or stay home :iloveyou:
  • Wee_Willy_Harris
    Wee_Willy_Harris Posts: 7,512 Forumite
    missile wrote: »
    sun_tzu wrote: »
    If the offer is accepted then I will look for the solicitor.QUOTE]

    You need to have a solicitor to make the offer on your behalf.


    You need qualifications and years of training to just speak to an EA and say a big number? I don't think so. You don't even need a phone!
  • gauly
    gauly Posts: 284 Forumite
    missile wrote: »
    sun_tzu wrote: »
    If the offer is accepted then I will look for the solicitor.QUOTE]

    You need to have a solicitor to make the offer on your behalf.

    No you don't. I've bought three houses and never instructed a solicitor until the offer was accepted and the chain was completed.
  • G51shopaholic
    G51shopaholic Posts: 566 Forumite
    you say you spoke to one of the tenants - so that implys that there is more than one.

    If so where is the other tenant going?

    And are you wanting the property for you to live in or to continue renting out?
  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    missile wrote: »

    You need to have a solicitor to make the offer on your behalf.

    In Scotland and maybe in Spain: not in England.
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
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