Seen another flat..BUT it has tenants in it what to do?

thesaint

If you get a residential mortgage, the lender will require the flat to be vacant.

If you get a buy to let mortgage, lenders usually prohibit you from living there yourself after the tenants leave.

Yasmin02

Hello

Well thanks for everyone responses apologeis for tkaing so long to reply just got back from work.

I am under the impression that i wouldneed to get a btl mortage as the soliciotr would and mortgage co would need to have vacant poesseion of hte property. I have spoken further to the EA today and they are noen the wiser i have asked them if the landlord would be willinging to ask them to leave ro come to some sort of comprimise...i am waiting to hear back from them.. as thyw were just trying to push there management of tenents to me rather than answering my questions.

I could wiat 9 months but that really is not the point when i would assume the landlord would be able to get them out sooner (i think) but who's knows. I am getitng quite wary of this now as i do not thikn it is wise to buy a propety with tenents in it and then i would have ot evict them to much hassle and cost!!!

Does anyone have any further ideas?

Many Thanks

Yasmin

imoneyop

I think you'd have trouble getting a BTL mortgage on this anyway as the rent doesn't justify the mortgage.

You would be getting an 85% mortgage and the rent needs to cover about 115% of the mortgage interest.

Assuming you offered £175,000 you would need a mortgage of £148,750 (unless you have a larger deposit) and the interest on this (assume 6%) would be £743.75pm. This would need a rent of £855pm.

franklee

Yasmin02 wrote: »

I could wiat 9 months but that really is not the point when i would assume the landlord would be able to get them out sooner (i think) but who's knows.

I don't see why he should be able to get them out sooner, it's the tenant's home and they've signed up till January 2008. Tenants are people too and may not wish to move yet, if it were me I'd want a considerable payment for the hassle. I think this property is being sold as a BTL. It's a bit of an imposition on the tenants making them have viewings now anyway, most agreements only allow this in the last one or two months of the tenancy. If you want to find about more about the property you could do worse than asking the tenants (if they are willing to chat) and also find out their position.

imoneyop wrote: »

I think you'd have trouble getting a BTL mortgage on this anyway as the rent doesn't justify the mortgage.

Heh, heh, you are right. Asking price £184,995, rent £758.33 per month. That's a yield of 4.92%, much better than you'd get round here but still not viable IMO. I wonder WHY the landlord is selling :rotfl:

CB1979_2

BobProperty wrote: »

So have I in the past, but expecting it to take 9 months to complete is a bit pessimistic If I saw that deal I'd be wanting to know why it is on the market now.

not too sure on the landlord side of things, but if they sold it on to another landlord then everything would be fine, i assume?