Confusing rent arrangement

OwlsBarbara

When my father died he instructed that I use the money from sale of his house to enable my kids to get on property ladder which I did.
The house that was purchased for my son and his then partner plus her two kids to live in used up his share of the money. I was dubious as to how long the partner would stay with him (he has mental health problems) so I told them I would keep the house in my name until I could see a stable relationship - they agreed. At no time did they pay any sort of rent as it was my sons house by rights. The relationship was anything but stable and eventually he left and came home to me. She asked if she could stay in the house and pay rent. I agreed, as the rent could be used for my sons living expenses whilst out of work (£350 per month). After 12 months I put rent up to £400 per month as both her kids were living there plus daughters boyfriend all on salary. She then asked to purchase the house but her valuation fell £25000 below market value and three valuations so I said I would not sell.

I have just found out that she hasn’t lived in the house for quite some time and just her daughter and fianc! are living there although the rent comes from her bank account.

I don’t have a formal rental agreement although I did get one written up but she said she didn’t think we needed one as we trusted each other - big mistake!

I don’t know where I stand as a landlord nor legally (are they one of the same thing?) I need to change this situation but am not sure as to how to do it. Any advice would be greatfully received. Thanks in anticipation

G_M

OwlsBarbara wrote: »

When my father died he instructed that I use the money from sale of his house to enable my kids to get on property ladder which I did.
The house that was purchased for my son and his then partner plus her two kids to live in used up his share of the money. I was dubious as to how long the partner would stay with him (he has mental health problems) so I told them I would keep the house in my name until I could see a stable relationship - they agreed. At no time did they pay any sort of rent as it was my sons house by rights. The relationship was anything but stable and eventually he left and came home to me. She asked if she could stay in the house and pay rent. I agreed,

Oh dear!
Did you comply with all landlord leglislation? And sensible landlord practices?

as the rent could be used for my sons living expenses whilst out of work (£350 per month).
Have you been paying tax on your £4,200 pa income?

After 12 months I put rent up to £400 per month as both her kids were living there plus daughters boyfriend all on salary. She then asked to purchase the house but her valuation fell £25000 below market value and three valuations so I said I would not sell.

I have just found out that she hasn!!!8217;t lived in the house for quite some time and just her daughter and fianc! are living there although the rent comes from her bank account.

I don!!!8217;t have a formal rental agreement although I did get one written up but she said she didn!!!8217;t think we needed one as we trusted each other - big mistake!
Yup!
What about a deposit?

I don!!!8217;t know where I stand as a landlord nor legally (are they one of the same thing?) I need to change this situation but am not sure as to how to do it. Any advice would be greatfully received. Thanks in anticipation

Well, it appears she is sub-letting. Since there is no written contract prohibiting this, she has the right to do this.

Do you care if she lives there or not? You're still getting your rent I assume?

If you want to end the tenacy, you'll need to serve a valid S21 Notice. This is easy to get wrong.

To start with, I'm guessing you never gave her an EPC? Or the required government leaflet? In that case, no S21 Notice will be valid!

Read the link below and start getting the tenancy on the proper, legal, footing.

* New landlords: advice, information & links


and read this questionaire to find out how a S21 can be deemed invalid:

S21 checklist (Is a S21 valid?)

OwlsBarbara

Wow, very quick and lengthy response. Feel like I!!!8217;ve been well and truly done over! Thanks for your insight.

foxy-stoat

OwlsBarbara wrote: »

Wow, very quick and lengthy response. Feel like I!!!8217;ve been well and truly done over! Thanks for your insight.

Not really as you have been receiving the correct amount of rent and nothing bad has happened.

At very least get all your paperwork in order and then decide if you want to evict them.