Buying rented property

mickteasel

landlord is selling the property, is there a way for someone to buy house and we live in rent free, then when we die they have the property. I am 63 and took early retirement.  Have about 80,000 in savings.  House worth about 230000.  Have army pension.

Stubod

???? not sure I understand the question, why would somebody buy the house and let you live in it rent free????...what would be their motivation for that?

If you want to live "rent free" then you need to buy the house....

theartfullodger

With £80k savings and state-in-a-few-years-plus-army pension you might get a mortgage to buy it.  But no HB for an owned house, unlike rented.

Yes there is, but what price would make the deal worthwhile?  Certainly not £230k, assuming you live another 30 years the fair price would be what it will be worth in 30 years, less maintenance & insurance & other costs over 30 years(**), discounted the usual actuarial way: Say £120k (a  complete guess).  Why would current landlord sell at that price?

Living there rent-free is probably unwise as you'd not have the normal protection of an AST.  I wouldn't trust any new owner to write a residency document that they couldn't wriggle out of.  Anyone offering you a deal is probably a crook & a cheat.

Are you on your local council's housing waiting list (eg see...

http://www.slough.gov.uk/housing/housing-register.aspx

Artful (wicked and evil capitalist landlord): 72 and hoping to live rather longer...

Best wishes & good luck

PS ** What it's worth in 30 years: I'm expecting a house-price slump plus general economic slump as both Covid & Brex**it will have to be paid for, fewer jobs, etc etc etc..

PPS How long have you lived there? If from before 1997 it will be an AT not AST so probably very hard to evict you, current or new owner.

davidmcn

mickteasel said:

is there a way for someone to buy house and we live in rent free, then when we die they have the property.

Or you could carry on paying rent to them, and when you die they'll have the property.

AdrianC

Are you thinking in terms of you pay some of the purchase price - effectively rent up-front?

How much is your rent currently?

Apart from anything else, what if the place no longer suits your needs?

AskAsk

if you want to stay and can not afford to buy the whole house, you can get homewise to buy the house with you and they get a share of the property when you die.

ProDave

How much are you currently paying in rent?

£230K purchase less £80K means a mortgage of 150K  That would typically have a repayment of £784 per month.

Is that more or less than your rent?

Now you just need to find someone to give you that mortgage.

greatcrested

No problem.  Send me a PM and details of the property. I'm happy to buy it and let you live there rent free provided you promise not to need it for more than 8 years.

martindow

In some countries there is an arrangement which is the opposite of what the OP is suggesting.  People sell their houses to someone on the understanding that they can continue living there until they die.  The buyer obviously pays far less than the value of the house and takes a bet in effect on how long the seller is likely to live.  The seller then has a cushion of cash to be able to live in comfort for the rest of their life.

On occasions, such as the French lady who lived to 120, the buyer misses out ...

grumiofoundation

martindow said:

In some countries there is an arrangement which is the opposite of what the OP is suggesting.  People sell their houses to someone on the understanding that they can continue living there until they die.  The buyer obviously pays far less than the value of the house and takes a bet in effect on how long the seller is likely to live.  The seller then has a cushion of cash to be able to live in comfort for the rest of their life.

On occasions, such as the French lady who lived to 120, the buyer misses out ...

Yes - but in this case the OP doesn't own the property - they seem to be suggesting a landlord buys it and lets them live there rent free?

Which country does this happen in - might look to move!!!

martindow

grumiofoundation said:

martindow said:

In some countries there is an arrangement which is the opposite of what the OP is suggesting.  People sell their houses to someone on the understanding that they can continue living there until they die.  The buyer obviously pays far less than the value of the house and takes a bet in effect on how long the seller is likely to live.  The seller then has a cushion of cash to be able to live in comfort for the rest of their life.

On occasions, such as the French lady who lived to 120, the buyer misses out ...

Yes - but in this case the OP doesn't own the property - they seem to be suggesting a landlord buys it and lets them live there rent free?

Which country does this happen in - might look to move!!!

It was in France.  Looking it up she was paid monthly rather than selling for a lump sum.  She was 90 when the arrangement started but lived a further 30 years during which time the man hoping to acquire the property in a short time also died.

https://www.nytimes.com/1995/12/29/world/a-120-year-lease-on-life-outlasts-apartment-heir.html