what does 'by tacit relocation' mean?

ali-t

There is an estate in the area I would like to buy a house and it is being sold off seperately as lots. There are 2 lodge houses at the entrance of the land and I would be interested in one of them and a paddock at the side of the house.

The listing is not particularly detailed but says that there are tenants in it with an AST and features the text below

The lodge is currently let on a Short Assured Tenancy Agreement
to XXXX and YYYY at £625 per calendar month.
The lease is currently continuing by tacit relocation.

Does this mean they come with the property?

http://www.rettie.co.uk/sales/EDI110944

LAEllis

quick search on wiki found

"Tacit Relocation in Scots Law is a principle whereby leases of land or buildings are renewed on the same conditions as previously existed if no notice of termination is given within the requisite period"

I'm assuming that means it would continued on unless you said otherwise.

P.s. Looks beautiful, would love to live there.

G_M

Scots law is a mystery (there'll be an expert along soon!) but basically, yes, the tenants live there - it's their home. So you need to know what rights they have, what notice you'd have to give them.

And could you get a mortgage assuming you need one on a rented property?

ali-t

As the tenants are on an AST, I would need a guarantee that they would have moved before I moved in (thinking it is mine already lol). Can restrictions be put into the seller saying that the sale would only go ahead if the tenants were given notice to quit and would be out by X date?

G_M, I am not sure what you mean about a mortgage on a rented propery. I don't want tenants, I want a home with few neighbours and a paddock I can fence off.

LAEllis

as its an AST doesnt that mean its 2 months notice?

G_M

ali-t wrote: »

As the tenants are on an AST, I would need a guarantee that they would have moved before I moved in (thinking it is mine already lol). Can restrictions be put into the seller saying that the sale would only go ahead if the tenants were given notice to quit and would be out by X date?In England, no. The seller cannot guarantee the tenants will leave when asked to so best practice is not to 'Exchange Contracts' as we do down here until the tenants are physically out.

G_M, I am not sure what you mean about a mortgage on a rented propery. I don't want tenants, I want a home with few neighbours and a paddock I can fence off.

From the property description, it appears you are being offered a property with tenants in situ. YOU will then need to get them out after buying. Thus you are buying a property with tenants - which your mortgage lender will not like.

If you intend to ensure the tenants leave BEFORE buying, you'll need to get the vendor to evict them. Were they planning to do this, they would probobly have already done so....

ali-t

Yeah, fair point. The brochure names the people who are living in the houses just now which is bizarre but it sounds like too much of a gamble for me to buy a house I cant even live in.

theartfullodger

As presumably in Scotland it won't be an AST but (hopefully) an SAT. Scots law is very different & if the existing Landlord hasn't done the paperwork correctly (ie be able to prove that AT5 was served on tenant BEFORE tenancy was signed & witnessed) then it won't be an SAT but an AT and you can't get Tenant out on 2 month notice, but only if Tenant owes 3 months rent.

Tacit relocation means tenancy rolls on, period by period, but without reading the tenancy you won't know if the period is 1month, 2months, 3months, 6months or a year.

Get a Solicitor who really knows Scottish Landlord /Tenant law rather than any old conveyencor to read the paperwork and advise you.

Beware!!!

Convenient for the golf mind!!!

G_M

At last! Where have you been Artful?

ali-t

theartfullodger wrote: »

As presumably in Scotland it won't be an AST but (hopefully) an SAT. It is in Scotland and the schedule linked on the website says it is an AST so I can only go on that. Why is a SAT better?

Scots law is very different & if the existing Landlord hasn't done the paperwork correctly (ie be able to prove that AT5 was served on tenant BEFORE tenancy was signed & witnessed) then it won't be an SAT but an AT and you can't get Tenant out on 2 month notice, but only if Tenant owes 3 months rent. I phoned the selling agent today and he said it is 2 months notice and they will be given notice period when an offer is accepted so moving dates need to be flexible to take into account the 2 month notice period. He said the tenants wouldn't come with the property.

Tacit relocation means tenancy rolls on, period by period, but without reading the tenancy you won't know if the period is 1month, 2months, 3months, 6months or a year. 2 months notice although I will get this checked out by my solicitor if I go ahead with a viewing and like it.

Get a Solicitor who really knows Scottish Landlord /Tenant law rather than any old conveyencor to read the paperwork and advise you. I am fairly local to the property and I trust my solicitor to be thorough

Beware!!! Why? If the information I have been given today by the selling agent is correct, is there reason to beware?

Convenient for the golf mind!!!

Thanks for the input, it is all appreciated.

theartfullodger

If the information ... Exactly.

There is no such thing as an AST in Scotland : SAT isn't better, simply the closest Scottish equivalent, but different. 2 months eh? Could be the case but note my comments about AT5 & length of the tacit relocation period.

Hope it works out but, no offence, don't think you realize the risks you are running.

Cheers!

Artful - Landlord in Scotland since 2000, 3 properties.