Keys handed over before completion

humey86

Im posting this in behalf of a fanily friend. She told me the situation and i was so shocked and appalled i wanted to get some advice. 
They moved house last year, bought a bungalow for cash and put their previous property on the market. Offer was accepted and all the usual paperwork etc was being done. She recieved a call from her old next door neighbour saying that someone had moved it. Money hadnt veen released yet and as far as they were concerned they werent prepaired for the new owner to move in. It turns out the estate agent passed the keys on to the new owner and he has moved in to the property already! As i said, the deal hasnt been completed, no money has changed hands.

Where does she stand legally with this?

DoaM

Legally she still owns the property and the other people are trespassing/squatting? (I presume your friend is still liable for the utility and other charges? Electric, gas, phone/broadband, water, council tax etc.)

humey86

Hi, yeah i would presume so. Is this a failing on behalf of the agent?

thepurplepixie

Sounds like a failing to me.  When selling I was told the keys wouldn't be released until money was received.

davidmcn

Hasn't she spoken to her solicitor about it?

SallyDucati

I would suggest they need to urgently discuss this with their solicitor/conveyancer.  Have contracts been exchanged but not completed, or not even exchanged?

[Deleted User]

When exactly did this happen? She needs to get in touch with her solicitor asap. Should have been the first thing she did, not going to talk to her friend about it (no offence). 
This sounds like a major !!!!!! up by the estate agent. 
The house is currently still legally hers. What if they do damage to it, burn it down etc?!

humey86

Yeah i totally agree. I haven't spoken to her today but i hope she has spoken to the solicitor! 

Silvertabby

Are these the buyers - or could they really be squatters?  

greatcrested

* who's moved in - the 'buyers' or someone else?

* is this England? Scotland?

* have contracts been Exchanged?

It appears someone is squatting. Evict them asap.

https://www.gov.uk/squatting-law/remove-squatters

(plus formal written complaint to the estate agent)

princeofpounds

The agent has been negligent - your friend should keep records of all extra expenses, losses of time and other damages that arise as a result of dealing with this, as if things do wrong it's highly likely you will be looking for compensation and it may end up in a legal case. She should keep a record of every conversation she has with the agent, and try to communicate formally in writing to get a written response where sensible.

As everyone else has suggested, precisely what to do depends on who exactly has moved in, on what basis, and where she is in the contract process. 

If she has already exchanged, and completion is imminent, then hopefully it all goes through as planned, there are no losses and everyone can just move on (after a formal complaint to the agent). 

Let us know if you get any more detail.