Should I consider letting to potential purchasers?

RisingDamp

We are selling a property in which we do not live. A couple who are relocating for to the area work reasons are extremely interested in purchasing, but have yet to sell their own property.

I'd be interested to hear what options forum members might think worth considering, including whether we should suggest they might rent the property in the event of not selling their own house before January when they have to relocate.

This is an area of houseselling which is new to me, but there may be forum members who have experience or information about how this could be approached.

Fortheloveofmoney

I have no idea of the legal implications of this but wanted to share my experience. Bear with me...it was a few years ago....

I rented my house for 2 months before the purchase went through. I was desperate for somewhere to live as 2 previous purchases had fallen through and I was on a deadline.

I signed a tenancy agreement (not sure which type) and had to pay the associated fees for credit checks etc to the agent.

The offer was accepted on the house and I moved in as a tenant within 2 weeks. It was an absolute life saver for me as I didn't have to find somewhere to rent as well as buy.

The house owners were more than happy as they had over £1000 in rent before the purchase went through and I guess they had the security that I was unlikely to pull out of the sale as I was already there.

PasturesNew

I'd say no.
Once they're in, that stuffs you up for another buyer coming along and wanting it.
And, once they're in, they might go off it!
So you'd lose out all ways round.

SquatNow

Sell the property as fast as you can.

If they can't find the cash, drop the price until you get a buyer who can.

Nicki

What happens if they move into your property, and are unable to sell their own for a year or eighteen months. Would you be happy to wait that long provided you are receiving rental income. The value in a year's time will be different to the value today (either up or down depending on who you read on this board). How will you agree what the purchase price will be at that stage? What happens if they stop paying rent and you need to evict them? What happens if they change their minds about buying and want to continue to rent long term, or to move out and buy another property?

Set against this, how long has it already been on the market? How easy would it be to get new buyers? You aren't dependent on the sale proceeds to buy your new property, so renting this one out if you can't sell it may be no bad thing. Are there tax issues which mean you'd rather complete on the sale in a particular tax year?

There's lots to think about, and before you take a final decision I would strongly recommend that you discuss your plans with an experienced solicitor (not just a clerk or conveyancer who does the nuts and bolts of buying a house, but someone with more depth of knowledge) and have them draw up an agreement to cover all eventualities