Landlord wants to buy us out of our protected tenancy

Newmead

How much should we be asking for as we have lived here for 36 years originally 32 years were related to a job on a farm?  Tried searching on the net but its all about landlords and not the tenants in our position.  We need legal advise who specialize in this and also whether this payment (thousands, he mentioned a starting figure) would be liable for 20% tax?  as this would affect our decision.

There is not really a category for this either.

user1977

The valuation is more of a job for a surveyor than a solicitor - there'll be some who specialise in agricultural(esque) tenancies. Ideally you'd get the landlord to reimburse you the cost of your professionals' advice too.

theartfullodger

Tens of thousands is what would be more sensible. £ TENS OF THOUSANDS.  The resale value of the place with you (or your successors) in it will be way way way way lower than sale with vacant possession.  

As you no doubt know you are almost impossible to evict.

Suggest speaking with Shelter **free** helpline about your rights. 0808 800 4444. They know more landlord/tenant matters than almost anybody else.  Agree about surveyor, but most of them will be more used to dealing with landlords...

See
https://england.shelter.org.uk/professional_resources/legal/renting/regulated_tenancies/regulated_tenancy_definition

Good luck

robatwork

If he evicts you it would take, say, 2 years from the start to get you out and incur lots of costs. Not pleasant for you though. 

So I would start at a figure of 2 years' rent but be reasonable. 

There's really no right answer here though - some tenants would be happy with a box of Milk Tray and a month's rent. It's whatever you are comfortable with. 

Jenni_D

Landlord wants to buy us out of our protected tenancy

But does he also want to evict you now too? Or is he doing this just to be able to evict you in future should he wish to sell?

Newmead

No, he cant as we are protected tenancy and our rent is set by the rent office where they can only increase the rent by 5% every two years.

TBagpuss

You definitely need to get some proper advice.

As things stand, it would be extremely difficult for the landlord to force you out so you have great security. 

If you agreed, and were to leave, what would it cost you? Think about the costs of moving, the likely costs of higher rent for the rest of your lives, and the possible future costs of further moves as you would no longer have security. 
Do you actually want to move? 

Would you be looking to buy somewhere? Or would you be able to get a council or HA tenancy which would be more secure than renting privately (but you may be very low priority as you are already securely housed, unless you have specific needs which mean the current property is no longer suitable) 

If you moved into a non-protected tenancy you lose the kind of security you've enjoyed for the last 36 years and would probably be going onto a 6 month AST, and would also be likely to end up paying much higher rent, and with fewer protections against future rent rises.  - at present, you have a secure home for life (unless you damage the property or stop paying rent) and are entitled to a fair, rather than market rent. 

As well as thinking about the money you might receive, also think  very hard about whether you actually want to do this at all, or if you would prefer to stay put. Just because the landlord wants to buy you out doesn't mean you have to agree - what's the benefit to you in agreeing to be bought out?

Bear in mind that even of the landlord tells you that they don't intend to evict you if you agree, once you've given up the tenancy they could easily change their mind. The most likely reason for them to want to buy you out s if they are hoping to sell the property, and of course if they sell and you no longer have a regulated tenancy then the new owner may give you notice regardless of what the old one may have said. 

Jenni_D

Newmead said:

No, he cant as we are protected tenancy and our rent is set by the rent office where they can only increase the rent by 5% every two years.

When I said now, I didn't mean RIGHT NOW. My question was whether his desire to evict is imminent, or merely a future-proofing action. (Eviction would take months at least anyway, unless you signed away your rights and the new contract stated a leaving date).  

canaldumidi

Why do you think he wants to do this?

Possibly so that he can increase your rent, but to be honest it is more likely he wants to sell the property.

Selling with you there, on a protected tenancy, will probably be done at auction, and achieve a sale price way WAY below what he will achieve once he has evicted you. Or even if he sells with you there but on an Assured Shorthold Tenancy.

So the value to HIM of buying you out is, perhaps 1/3rd or even 1/2 the market value of the property.

AdrianC

I'd be laughing at the suggestion, tbh.

ProDave

If the landlords objective is to sell, is there any merit in you discussing buying it?  you should be able to get the property at below the vacant possession value.