Considering a property that's currently tenanted

ts21

I've been looking at a flat that's for sale on Rightmove. It's been on the market a while and when I called I realised that it's likely that's because it currently has tenants. They haven't mentioned it on the listing, it only came up because they said they need 2-3 days' notice for viewings for the tenants. They have apparently been given notice and are due to be out at the end of May.

I'm guessing that it's not a good idea to move on a property until any tenants are actually out? I've seen other posts about eviction processes dragging on for ages - so say you offered on a property and started the process of buying, what would happen if the tenants didn't vacate? I should say, I'm a FTB and this is a property for me to live in.

user1977

ts21 said:

say you offered on a property and started the process of buying, what would happen if the tenants didn't vacate?

You'd give up and buy something else instead.

moneysavinghero

If they didn't move out your solicitor would not let you exchange contracts because you would not have vacant possession. You would be waiting until they do move out before you could actually buy it (unless you decide you want to buy with tenants in place and then get them out yourself).

As it's been on the market fora while, why not wait a month longer and see if they do move out.

[Deleted User]

ts21 said:

I've been looking at a flat that's for sale on Rightmove. It's been on the market a while and when I called I realised that it's likely that's because it currently has tenants. They haven't mentioned it on the listing, it only came up because they said they need 2-3 days' notice for viewings for the tenants. They have apparently been given notice and are due to be out at the end of May.

I'm guessing that it's not a good idea to move on a property until any tenants are actually out? I've seen other posts about eviction processes dragging on for ages - so say you offered on a property and started the process of buying, what would happen if the tenants didn't vacate? I should say, I'm a FTB and this is a property for me to live in.

Until the tenants vacate the vendor would be taking a massive risk exchanging contracts with tenants in-situ in case the tenants don’t leave meaning the vendor can’t give you vacant possession at completion so would most likely be in breech of contract. 

In reality the vendor either wants to sell with tenants to another investor or wants to have his cake and eat it ie string you along an expect you to wait out the eviction process so as to minimise the void period. 

ProDave

Unless you WANT to be a landlord, do not exchange until vacant possession is demonstrated.  That might take longer, perhaps very much longer than the vendor hopes.

[Deleted User]

moneysavinghero said:

If they didn't move out your solicitor would not let you exchange contracts because you would not have vacant possession. You would be waiting until they do move out before you could actually buy it (unless you decide you want to buy with tenants in place and then get them out yourself).

As it's been on the market fora while, why not wait a month longer and see if they do move out.

That’s not entirely true. There’s nothing to stop both parties exchanging contracts whilst the tenants are still in-situ. It’s the vendor who has to guarantee vacant possession at completion so the vendor’s solicitor would most likely advise the vendor not to do it. 

ts21

It seems then, if you don't want to end up a landlord or to lose money, it's better to wait until they have vacated before making any offers and spending any money on the process? I wouldn't want to waste time/money on it only for the tenants not to vacate. But perhaps it's worth a viewing before then.

getmore4less

Plenty of thread coverage on this sort of prediciment  some very recent.

GDB2222

ts21 said:

It seems then, if you don't want to end up a landlord or to lose money, it's better to wait until they have vacated before making any offers and spending any money on the process? I wouldn't want to waste time/money on it only for the tenants not to vacate. But perhaps it's worth a viewing before then.

That's rather an extreme viewpoint. I would certainly view a house with tenants. If I were interested in buying, I'd take the opportunity to ask the tenants what's going on. They might answer:

a) I'm moving to another country to start a new job.

b) The landlord is helping with my moving costs, and I'm actively looking round for somewhere to move to.

c) I gave my notice. The neighbours here are simply awful.

d) I'm not going to leave willingly. My LL is going to have to issue proceedings.

RAS

I'd definitely be tempted to look at it, and to download the deeds and lease if you remained interested. After all, you may decided it's actually a non-starter.

If it's still a goer, tell the EA that you'll not be making an offer until the tenants move out.

Marvel1

View it, put offer if you like it, don't spend money on anything (including having the solicitor to start process) until they have left.