Offer tenant to buy property?

Bootsy

Hi,

I am currently renting out my flat I own and I finally have found a decent tenant with a good income who appreciates the flat and the location that it is in.

Eventually in the next few years I would like to sell the flat, obviously I would not want to prematurely scare my tenant nor do I want to keep him uninformed of my intentions. It is still early days but if everything is well I would like to offer him first refusal on purchasing the flat.

I was wondering if anyone has any advice for me, anything I should be wary of? Has anyone else been through this? What were the first steps you took? Any guidance would be gratefully received

G_M

Well you'll need to sound out the tenant and see if they might be interested!

You'll need 3 or 4 estate agent valuations to compare against local 'sold' prices, to reach a price, and the tenant will have to cooperate with granting access for this.

If they are not interested in buying, you'll either need to give the tenant notice, or reach agreement on access for viewings. In any event, no buyer will Exchange while the tenant is there (except the loony ones who then come here complaining they're worried the sitting tenant has not left the house they bought when told to do so!)

Bootsy

Many thanks - This would obviously be a concern about arranging viewings should he not be interested in buying.

My initial worry is how to sound him out without scaring him off prematurely. Obviously this is something I will have to bite the bullet on in due course!

failte100

Hi
I think you do need to sound the tenant out -gently Something like well if you ever fancy buying it lol dropped in conversation when appropriate as it would be unfair to leave the tenant thinking this could be a long term rental.

The once you have sown the seed thats all you can do until either they express interest or it becomes clear to you time is right to sell up.

Obviously you need to keep this in mind when renewing tenancy ect and perhaps that would be a good time to sow the seed?

Good luck