Buying a no chain property BUT it has tenants in it.

maybe_tomorrow_2

I am in the process of buying a property which has been listed as having no chain. The property is however currently rented out with tenants living in it. I am buying the property the live in it myself.

I have requested details on what notice the existing tenants require from the vendor to move out as I am concerned this could delay completion. Their agent said they do not have to tell us and therefore wont. We are moving quite quickly and solicitors have been appointed, I will be very annoyed if there is for example a 30 day notification period for the existing tenants which means the contracts cant be signed until that period is over.

Can anyone advise on what I can do?

BitterAndTwisted

If you are buying the property with a residential mortgage your conveyancer will not allow exchange to take place until there is vacant possession.

Unless the vendor has issued a Section 21 Notice, they will have to do so, giving the tenant two month's notice. Even then, if the tenant is unwilling or unable to move out, they will have to apply to the court for possession. This whole process could take months and months.


Have you spoken to the tenant?

marliepanda

Advertising a tenanted property as no chain is ridiculous. That can be a HUGE chain if the tenants either dont want to go or have nowhere to go...

There will be at LEAST 2 months notice on them, unless the S21 has already been issued (it would have been sensible to my brain that a s21 was issued on acceptance of an offer) but thats at least 2 months notice, not 30 days.

It seems very strange they wont confirm the notice period. It sounds like they arent confident that the intended time frame will be adhered to.

Definitely speak to the tenant if you can

Annisele

It could be much worse than others have suggested.

What sort of tenancy do the tenants have? If it's an assured shorthold tenancy, then the s21 route will (eventually) get the tenants out. If it's some sort of regulated tenancy, it may be near impossible to get them out at all.

lovinituk

If they're at the beginning of an assured shorthold tenancy, you might not be able to get them out for closer to 6 or 12 months!!

BitterAndTwisted

"Their agent said they do not have to tell us and therefore won't."

This means that the agent doesn't know and the vendors haven't a clue how to go about seeking possession either. Don't expect to be able to complete this side of Christmas.Speak to the tenant and find out whether they are on a fixed-term AST or a periodic tenancy, whether they have been served with a Section 21 Notice yet and if they have, when is their intention to leave.

vax2002

Look for another house, stop throwing good money after bad.
They could have just signed a 12 month contract, if thats the case, you are stuck with them for 14 months if they dig their heals in .

BitterAndTwisted

My response to the agent would be that if the vendors are serious about wanting to sell this property they will give you the information that you are seeking. The absence of which will compel you to withdraw and find a property you will be able to buy.

Yorkie1

BitterAndTwisted wrote: »

My response to the agent would be that if the vendors are serious about wanting to sell this property they will give you the information that you are seeking. The absence of which will compel you to withdraw and find a property you will be able to buy.

Indeed. The information you need to make an informed decision is:

a) are the tenants still in the fixed period of their tenancy and, if so, when does it end?

b) has a s.21 notice [of intention to apply for possession of the property] been served yet? If so, what is the date of expiry on the notice?

Turnbull2000

Sound like another accidental landlord who wants to rent whilst selling at the same time - whilst believing they can just turf out the tenants when it suits them. It's frightening that these muppets are becoming so common. Sigh.

Werdnal

Slight correction to your OP:

You are NOT in the process of buying a property BECAUSE it has tenants in it. I wouldn't invest any money in searches, surveys etc as this is far from a guarnateed purchase and you will lose your money.

Unless you can get proof - preferably by going round there to see for yourself that the tenants have gone and the place is empty and available as vacant possession, you are going nowhere with this purchase.

Even if the existing LL/vendor issues notice today, the tenants do not need to leave until he gets a court possession order, and he cannot even apply for this until 2 months after issuing the notice. If the tenants are midway through a fixed term, the notice will not take effect until that term ends. Quickest estimate of tenants being out could be Christmas - longest perhaps next August if you are very lucky!

OP, just noticed your user name - to quote the next line of the Pretenders' classic, "Maybe Someday" - exactly when your property may be available for you to proceed with your purchase!