Sellers can’t complete as tenants are refusing to move out of home they’re moving in to.

Comms69

AdrianC said:

ltodd94 said:

Just to clarify, we haven’t yet exchanged however we have transferred deposit and paid sols fees.

And that's your key... You've transferred the money to your solicitor, ready to transfer if/when you exchange. But if you haven't exchanged yet, then either side can just pull out for any or no reason.

Your solicitor wouldn't have allowed you to exchange without the vendors being able to confirm vacant possession. If the tenants want to dig their heels in, they'll still be there in Autumn. Their landlord cannot force them out (legally) without a court granting possession - and cannot launch a possession hearing at the moment. The backlog when they can again will be huge.

It's all in the tenants' hands. And, no, you cannot claim for any compo or expenses from anybody.

The landlord could pay them to leave of course - still voluntary - but if the situation is dire, that could be an option to explore.

steampowered

The key here is communication - see if you can contact the seller (or get the EA to contact them) asking for details about the situation and whether they have any indication of how long the tenants are expected to be in the property.

It could be that the tenants are going to move out into a new property imminently; it could be that they haven't found another property yet in which case they could be there for months. Remember that the government has advised against moving house during the lockdown.

Likewise, you need to point out that your mortgage offer is about to run about, and that you will have to pull out if the sale doesn't proceed quickly.

macman

As above, your solicitor will not allow you to exchange without a guarantee of vacant possession on the completion date, which your vendor cannot now offer. If you proceed without this, you would inherit a legal tenancy. The only option is for the vendor to buy out the tenant, if they are willing.

greatcrested

Not exchanged.

Neither side commited legally.

Either side can delay for as long as necessary.

Either side can withdraw without penalty.

Your solicitor will return your deposit payment to you if requested.

Your solicitor will rip up your signed contract if requested.

You can request compensation from your solicitor, your mortgage broker, the estate agent, the seller, the tenants, or me.

All will decline to pay the compensation you request.

GDB2222

ltodd94 said:

Just to clarify, we haven’t yet exchanged however we have transferred deposit and paid sols fees. Main concern now is that we won’t be able to move in before the mortgage agreement expires and will not be able to secure a new one as we have put down 5% but lenders are now asking for anywhere up to 40%. 

The thing is, are you better off exchanging contracts, or not? It may be a while before you can get another purchase with a 5% deposit, if you don’t proceed. On the other hand, you may be deeply in negative equity by the end of the month, if you do proceed. Which is worse?