Temporary renting of newly-purchased house to vendor

GeordieGeorge

sparklep0ny said:

GeordieGeorge said:

It’s an absolutely terrible idea. For one thing your mortgage offer will have been based on you taking vacant possession in order to complete, which you now won’t be, so you’ll need to change to a buy-to let mortgage ahead of the purchase. That will have different rates, affordability criteria and deposit requirements. Do you even know if you’ll qualify for a BTL mortgage?

You’ll then have all the normal obligations of a landlord, and no guarantee whatsoever that your tenants will happily walk away leaving you an immaculate and undamaged house on the date that you’d like to move in. What do you intend to do if they manage to burn it down in the interim, or just start treating it as some people do treat rental homes, and not looking after it properly?

OP is a cash buyer.

Ah yes, I hadn’t spotted that. That makes the purchase side of things simple then, but it’s still an awful idea.

Robbo66

Given the current legalities around lettings, deposit registration, safety certificates and notice periods I would say don't do it. It is far too easy to come unstuck and then you might have to wait months to get the house back following notice and could end up costing you 000s.

lincroft1710

This is an excellent idea! 

It ranks along other similar excellent ideas such as ironing your clothes whilst still wearing them, sitting on the branch of a tree and sawing the branch, keeping the saw between you and the tree trunk and watching a TV which is perched on the edge of a bath full of hot water in which you are sitting!

Sunsaru

lincroft1710 said:

This is an excellent idea! 

It ranks along other similar excellent ideas such as ironing your clothes whilst still wearing them, sitting on the branch of a tree and sawing the branch, keeping the saw between you and the tree trunk and watching a TV which is perched on the edge of a bath full of hot water in which you are sitting!

You forgot to add eating yellow snow....

Skiddaw1

On the whole I'd agree with the above, though to be fair, I would say that our previous neighbours did it (rented the subject-to-probate place they bought from the deceased owner's son for a month or two whilst probate was being sorted out). We were horrified but the parties involved had no problems with it and it actually worked out fine. I wouldn't recommend it however.

martindow

Have you exchanged contracts?  If not the completion date is merely an aspiration not set in stone and could be moved to a date you and the vendors would like.

RedFraggle

Skiddaw1 said:

On the whole I'd agree with the above, though to be fair, I would say that our previous neighbours did it (rented the subject-to-probate place they bought from the deceased owner's son for a month or two whilst probate was being sorted out). We were horrified but the parties involved had no problems with it and it actually worked out fine. I wouldn't recommend it however.

That sounds like it was the other way around at least. Renting to the purchaser not the vendor.