Buying a property mid-eviction

Marvel1

Cheeky_Monkey wrote: »

If it were me, I would not complete until the eviction has physically taken place.

What does your solicitor advise?

Nor exchange.

Guest101

Superclarkkent wrote: »

Thanks yes I've seen that link. The tenant is on housing benefit so basically is following Council advise to stay until the bailiffs turn up so that she is officially homeless and can be rehoused. She's not appealed anything at any stage and from what I can tell is on decent terms with the vendor - she's just playing the housing benefit game which is her prerogative.


I guess I've just got to assume I'll lose the ERC and if it goes through quicker, then its a bonus.


Offer was accepted in February - so this has dragged on about 25 weeks so far.

Its nothing to do with a 'housing benefit game', you can get council housing and not claim any benefits.

Superclarkkent

Guest101 wrote: »

Its nothing to do with a 'housing benefit game', you can get council housing and not claim any benefits.

My understanding is that the Council will not re-house someone until they no longer have somewhere they can legally reside. Until court-ordered bailiffs turn up to evict her, she can legally reside in the property and so the Council won't treat her as homeless.

Guest101

Superclarkkent wrote: »

My understanding is that the Council will not re-house someone until they no longer have somewhere they can legally reside. Until court-ordered bailiffs turn up to evict her, she can legally reside in the property and so the Council won't treat her as homeless.

Correct - why that's a 'housing benefit game' I still don't understand.

G_M

Your mortgage lender will not release the funds without acant possession. Can you afford to buy without a mortgage?

Or you could apply for a BTL mortgage of course. But do you wish to become a landlord? And take on all the responsibilities of a landlord? and get landlord's insurace? and pay tax?

etc etc

Cakeguts

You have now learned the reason why people on here always suggest that people don't try to buy a house that still has a tenant. It is always suggested that people wait until the tenant is out before they spend any money trying to buy the house.

teddysmum

As seen on the tv programmes, some tenants can turn nasty when they realise that they really will have to vacate, so do some damage before they go. Depending on what is done, this could be quite expensive to put right.

Superclarkkent

That's not of particular concern as I'm planning to renovate the whole place - it's not been well looked after (partly why I'm putting up with this process, as I'm getting good value for money - identical properties with a recent refurb are selling for about 30% more).

csgohan4

Superclarkkent wrote: »

That's not of particular concern as I'm planning to renovate the whole place - it's not been well looked after (partly why I'm putting up with this process, as I'm getting good value for money - identical properties with a recent refurb are selling for about 30% more).

Then losing your ERC should be a concern. Never exchange on a house not vacant of tenants. You knew the risks and now you may have to pay for the mistakes.


Is it still good value paying the ERC as well?

Superclarkkent

The ERC is £6k. The refurb will cost about £20k. The other similar properties in the area are going for about £90k more than I'm paying - so yes it has been a pain in the backside but it was a chance worth taking and due to circumstance I had to sell when I did.


I'm not paying for any 'mistakes'!


So yeh, due to the advice in this thread (which is what I came for) I won't be exchanging until the property is vacant. If that costs me £6k then I still think in the long term I've made the right choice.