advice needed on renting after selling home

dandandan81

I wonder if anyone could offer some advice or guidance on what seems a confusing situation. Currently I live and own a house in conjunction with my mum. We have accepted an offer on the house (Sept) in a relatively short chain.
Currently our situation is looking for somewhere to either buy or rent. This is having an impact on the chain before us as they wait to understand what we are looking to do.
My preference is for both parties (myself and mum) to move into separate rented accommodation for a few months until some more properties arrive on the market earlier next year.

Proposing this option to my mum has raised some serious questions from her about exposure to financial risk. When I proposed the idea of renting she stated no as she does not have the money for the deposit and first months rent. Yet after completion of our sale she will have approx 90K. Therefore affordability is not really an issue.

Can anyone advise/ offer experience on having moved from owning a house to rented and how that process worked for them? Currently i am being met with a wall of negativity and don't really understand how to make it happen relatively smoothly.

The rental cost for deposit and one months rent was approx £3500. Which my mum doesn't have in cash currently. She is concerned agreeing the rent may lead to a situation where r=the house fails to complete on final day and we have to pay both the mortgage AND the £3500 for rent

Help?!

Thanks

Dan

Foxy-Stoat_3

Does she want a quick and easy sale or a long and stressful one....and a quicker and easier purchase?

If you both cannot find the deposit and first month's rent then look to rent a smaller/cheaper house.

You need to explain the whole picture more clearer, your sale will go through a lot smoother if you have a rented place lined up, and likewise you will be in a stronger position when you want to buy a place as you will have nothing to sell.

You just need to get your dates to tie up after your tenancy expires and hand the notices in at the right time.

Obviously the deposit will be tied up both before you move in and when you move out but if a few thousand is as bigger stumbling block as your making out then perhaps she shouldn't sell at all.

If the sale does not complete after exchange contracts then you have financial re-dress from the buyers.

dandandan81

Thanks Foxy-stoat.
Ultimately Mum does not wish to sell this house, unfortunately I do and as such the house sale is going through. I am under the impression stumbling blocks are being put in the way to make this a difficult sale.
I believe moving out into rental for a short period and then buying is a much smoother proposition...

Can I just enquire about financial re-dress, would that mean if the buyer pulls out last minute we could look to claim back?

Foxy-Stoat_3

Once contracts are exchanged and the buyers pull out you will be able to sue for any and all costs, your solicitor will be able to explain exactly if you have questions.

dandandan81

perfect, thank you
I thought there must be something in place as I am confident I am not the first to move from owning a house to renting for s short period.
Much appreciated.

xylophone

Given your previous history, it would seem best for you and your mother to separate your financial affairs and live your own lives in your own properties?

Presumably a one bedroom flat would be as much as your mother needs?

Perhaps she could start looking round now for suitable properties - this might obviate needing to rent?

System

Just a quick mention once the house sale completes it takes a few days for the money to get to you, here may be a week or so between selling and getting the money you would need to sort this out if you are relying on the money to rent.