Renting Question

AircraftHandler

Hi there i'm currently renting my property in Wales and i'm applying to voluntary surrender the property at the end of April as i cannot get my ex's name off it & the house is in negative equity so after speaking to the mortgage company the only viable option i have is to voluntarily surrender it.

My question is as i'm not paying next months mortgage does my tenant have to pay her rent as i'm not making any financial contribution towards paying it off?

Regards

da_rule

The tenancy agreement does not (or at least should not if its properly drafted) link rent to mortgage. Otherwise, if you paid off the mortgage, the tenant could stop paying rent. As long as you are the owner then you are entitled to the rent. This will change on the date that ownership is transferred to the mortgage company. Do the mortgage company know there's a tenant in the property?

AircraftHandler

Hi no they do not know i have tenanted it since we split up as i did apply to do it but the wanted 3 months rent in savings etc.

da_rule

Oh this could end badly. The tenant is going to have rights over the property and it is going to cost time and money for the mortgage company if they want to get the tenant out. When it comes to them taking the property back and they actually investigate the property they may refuse the buy back.

AircraftHandler

The tenant is happy to leave and i have served notice to vacate as she is on a periodic tenancy agreement so she will be leaving on the 27th April so that is no drama.

What i'm wondering is should she pay me for next months rental income?

theartfullodger

Without a court order & bailiffs the tenant does not have to leave. Are you being rather optimistic?

G_M

Tenant should pay rent to you until one of two things happpens:
1) tenancy ends and tenant vacates or
2) you cease to own the property

If tenancy continues after transfer of ownership (to mortgage lender) then tenant should be instructed to pay new landlord ( mortgage lender).

I mortgage lender finds out you have let the property without consent they may require extra payments from you (ie increased interest rate, back-dated, plus admin costs etc) - this could e added to your debt, which is likely to continue ven after you hand over the property - it will become an unsecured debt.

Tenant may, or may not, leave when requested.