Cash for Keys

pinkteapot

macman said:

Bex_27 said:

Also, before anyone says we shouldn't have put a reservation down on our property, unfortunately, we were told by her solicitors the matter would be quick to sort out and that she 'had a mortgage'. It turned out that it wasn't the case and we have spent out money on solicitors etc. Basically, we need to try all we can to get the person out of the property promptly. 

What kind of 'reservation'?.You are buying the property, you made an offer, it was accepted. No money changes hands until exchange of contracts.

Sounds like OP is buying a new-build.

Bex_27

pinkteapot said:

Bex_27 said:

greatcrested said:

Bex_27 said:

greatcrested said:

There is very little guarantee that the tenant will leave, and if not, it could be 9 - 15 months before eviction could take place. A higher incentive might help of course.

Must admit I didn't quite follow who owns what property and how, but irrespective, if your purchase depends on this tenant leaving, you are in for a stressful time......

He has accepted that he needs to leave, it's just asking if he can leave sooner.

Mabe he has. But in reality he does not need to. And if between now and end of November he changes his mind there is nothing anyone can do to make him leave other than offer more money.

We understand that but my question was "Has anyone done cash for keys?" - I was just hoping someone could share their experience of doing this. I know my mortgage advisor did it and he offered someone £2k for 28-day notice. They jumped at the chance! 

No personal experience, but everyone always has their price. If you offer the tenant £1 million to leave tomorrow, they probably would. If you offer them £100 to leave, they probably won't. Somewhere in between will be the amount that makes the hassle worthwhile for them, and that will depend on how easily they can find alternative accommodation and move on short notice - whether lots of rentals are available in the area, whether they have friends/family they could stay with, etc. It's just a conversation with the tenant...

I think giving him two weeks to decide on the £750 was probably a mistake - this'll be a negotiation back and forth and it'll take ages at that pace. You can't really go back on that now, but come the end of the two weeks, if they say no, offer more and give them a few days to decide. Just make sure you do it in a friendly, not threatening way! ("We appreciate this is a massive inconvenience to you which is why we're offering money to help with the process and compensate you for your trouble - obviously you're within your rights to say no.")

And obviously don't hand over any cash till they've actually vacated and given the keys back!

Thanks for your response. I think you are right, everyone has their price. I have been keeping an eye out on rentals in the area and actually, there are similar properties within half a mile if that which are within the price range. What I have offered him is enough to get him a deposit and stuff but I'd happily give him more to ensure he moves out, I think max. is £1,500 but if we have to stretch to more then we will. It will just eat out of the money we had reserved for our new house but hey-ho! 

It's a bit of a hard one as we are going through solicitors and my other half has not had any contact with the tenant as his ex-partner took on it all. They have a bad past and she left him to pay for all the mortgage for 3 years, when it got too much he told her that she had to take it over, he was suffering badly mental health-wise etc. If it has to come to it, we will see if we can speak directly to the tenant as, after all, this money is coming from us.

And you were right, we are buying a new build. We need to have it sorted by March really for HTB. The property means quite a lot to me as my grandad gifted us the deposit before he passed away and he really liked the property, was very proud, so I have quite a lot of emotional investment into the property. I know it's just a house but it means a lot more to me than it should.

Comms69

Bex_27 said:

Hi,
I am currently in the process of buying a property. Unfortunately, my partner is on another mortgage that he needs to be off before we can complete. The property is with an ex-partner and the matter has been ongoing for a while. Unfortunately, she couldn't get a Buy to Let mortgage due to cladding and therefore has got a private equity one but as there is a tenant currently in the property, she has given him six months. If he doesn't move out in the next couple of months, we will lose our property. We have offered £750 if he moves out by the end of November and has given him 2 weeks to let us know if he'd be happy to accept that. Has anyone done cash for keys? We'd be happy to go up to £1,500. The properties in the area range from £500-650 and he currently pays £570. 

Any help will be appreciated It's been the longest week and a half! No updates but he works odd shifts

Sorry £750?! add a zero and i'd consider it!

pinkteapot

Is there any way you can establish direct contact with the tenant? As your partner is their joint landlord they should have contact details? Or at the very least, you know the address and could drop a note in! I think you've got more chance of success if you can communicate directly with them. 

Bex_27

Comms69 said:

Bex_27 said:

Hi,
I am currently in the process of buying a property. Unfortunately, my partner is on another mortgage that he needs to be off before we can complete. The property is with an ex-partner and the matter has been ongoing for a while. Unfortunately, she couldn't get a Buy to Let mortgage due to cladding and therefore has got a private equity one but as there is a tenant currently in the property, she has given him six months. If he doesn't move out in the next couple of months, we will lose our property. We have offered £750 if he moves out by the end of November and has given him 2 weeks to let us know if he'd be happy to accept that. Has anyone done cash for keys? We'd be happy to go up to £1,500. The properties in the area range from £500-650 and he currently pays £570. 

Any help will be appreciated It's been the longest week and a half! No updates but he works odd shifts

Sorry £750?! add a zero and i'd consider it!

Really? For a property they have to leave anyway? It's free money at the end of the day and they have to leave anyways. This will help them not have to save up for a deposit. This is South Wales and not London, therefore rent is a lot cheaper. As I said, we have offered an initial payment but will.

Bex_27

pinkteapot said:

Is there any way you can establish direct contact with the tenant? As your partner is their joint landlord they should have contact details? Or at the very least, you know the address and could drop a note in! I think you've got more chance of success if you can communicate directly with them. 

I think this will be our next point of call, dropping a note through his door and asking him to contact us. It's awful having to do it through solicitors and then his ex. We'd rather do it directly as we can explain our reason behind him and offer our sincere apologies. We feel terrible but we have our reasons!

Comms69

Bex_27 said:

Comms69 said:

Bex_27 said:

Hi,
I am currently in the process of buying a property. Unfortunately, my partner is on another mortgage that he needs to be off before we can complete. The property is with an ex-partner and the matter has been ongoing for a while. Unfortunately, she couldn't get a Buy to Let mortgage due to cladding and therefore has got a private equity one but as there is a tenant currently in the property, she has given him six months. If he doesn't move out in the next couple of months, we will lose our property. We have offered £750 if he moves out by the end of November and has given him 2 weeks to let us know if he'd be happy to accept that. Has anyone done cash for keys? We'd be happy to go up to £1,500. The properties in the area range from £500-650 and he currently pays £570. 

Any help will be appreciated It's been the longest week and a half! No updates but he works odd shifts

Sorry £750?! add a zero and i'd consider it!

Really? For a property they have to leave anyway? It's free money at the end of the day and they have to leave anyways. This will help them not have to save up for a deposit. This is South Wales and not London, therefore rent is a lot cheaper. As I said, we have offered an initial payment but will.

I could be there until 2022, you need me out asap... sounds like i hold all the cards.

I say 6-12 months of rent is the broadly 'correct' figure.

Bex_27

Comms69 said:

Bex_27 said:

Comms69 said:

Bex_27 said:

Hi,
I am currently in the process of buying a property. Unfortunately, my partner is on another mortgage that he needs to be off before we can complete. The property is with an ex-partner and the matter has been ongoing for a while. Unfortunately, she couldn't get a Buy to Let mortgage due to cladding and therefore has got a private equity one but as there is a tenant currently in the property, she has given him six months. If he doesn't move out in the next couple of months, we will lose our property. We have offered £750 if he moves out by the end of November and has given him 2 weeks to let us know if he'd be happy to accept that. Has anyone done cash for keys? We'd be happy to go up to £1,500. The properties in the area range from £500-650 and he currently pays £570. 

Any help will be appreciated It's been the longest week and a half! No updates but he works odd shifts

Sorry £750?! add a zero and i'd consider it!

Really? For a property they have to leave anyway? It's free money at the end of the day and they have to leave anyways. This will help them not have to save up for a deposit. This is South Wales and not London, therefore rent is a lot cheaper. As I said, we have offered an initial payment but will.

I could be there until 2022, you need me out asap... sounds like i hold all the cards.

I say 6-12 months of rent is the broadly 'correct' figure.

Well, they could be but an S21 has been served and accepted. They have until March 2021 to leave and I know that doesn't mean jack but most people will accept and move on. 

Comms69

Bex_27 said:

Comms69 said:

Bex_27 said:

Comms69 said:

Bex_27 said:

Hi,
I am currently in the process of buying a property. Unfortunately, my partner is on another mortgage that he needs to be off before we can complete. The property is with an ex-partner and the matter has been ongoing for a while. Unfortunately, she couldn't get a Buy to Let mortgage due to cladding and therefore has got a private equity one but as there is a tenant currently in the property, she has given him six months. If he doesn't move out in the next couple of months, we will lose our property. We have offered £750 if he moves out by the end of November and has given him 2 weeks to let us know if he'd be happy to accept that. Has anyone done cash for keys? We'd be happy to go up to £1,500. The properties in the area range from £500-650 and he currently pays £570. 

Any help will be appreciated It's been the longest week and a half! No updates but he works odd shifts

Sorry £750?! add a zero and i'd consider it!

Really? For a property they have to leave anyway? It's free money at the end of the day and they have to leave anyways. This will help them not have to save up for a deposit. This is South Wales and not London, therefore rent is a lot cheaper. As I said, we have offered an initial payment but will.

I could be there until 2022, you need me out asap... sounds like i hold all the cards.

I say 6-12 months of rent is the broadly 'correct' figure.

Well, they could be but an S21 has been served and accepted. They have until March 2021 to leave and I know that doesn't mean jack but most people will accept and move on. 

Anyone posting here for advice would be informed of their rights. 

And a s.21 isnt 'accepted' so not sure what that means, it could very well be faulty and therefore another would need to be served. 

Either way £750 is a joke, and offering such a pawltry figure would only encourage me to be more stubborn - perhaps this tenant doesnt see it that way. 

It's not 'free' money, the tenancy has a value, and really it just depends on what's cheaper for you, losing the deposit, or paying the tenant to leave. Even if it's £1 less than the deposit, that's still money in the bank for you. 

KatrinaWaves

Bex_27 said:

Comms69 said:

Bex_27 said:

Comms69 said:

Bex_27 said:

Hi,
I am currently in the process of buying a property. Unfortunately, my partner is on another mortgage that he needs to be off before we can complete. The property is with an ex-partner and the matter has been ongoing for a while. Unfortunately, she couldn't get a Buy to Let mortgage due to cladding and therefore has got a private equity one but as there is a tenant currently in the property, she has given him six months. If he doesn't move out in the next couple of months, we will lose our property. We have offered £750 if he moves out by the end of November and has given him 2 weeks to let us know if he'd be happy to accept that. Has anyone done cash for keys? We'd be happy to go up to £1,500. The properties in the area range from £500-650 and he currently pays £570. 

Any help will be appreciated It's been the longest week and a half! No updates but he works odd shifts

Sorry £750?! add a zero and i'd consider it!

Really? For a property they have to leave anyway? It's free money at the end of the day and they have to leave anyways. This will help them not have to save up for a deposit. This is South Wales and not London, therefore rent is a lot cheaper. As I said, we have offered an initial payment but will.

I could be there until 2022, you need me out asap... sounds like i hold all the cards.

I say 6-12 months of rent is the broadly 'correct' figure.

Well, they could be but an S21 has been served and accepted. They have until March 2021 to leave and I know that doesn't mean jack but most people will accept and move on. 

They don’t have until March 2021 to leave. Your partner has to wait until March 2021 before they can potentially start eviction proceedings. 

The tenant does not have to leave in March 2021.