BTL with Tenants remaining

HugoSP

Debt_Free_Chick wrote: »

I think this will all depend on how the relevant dates work out.

It would seem far simpler for the current LL to issue a s21 (notice to quit) now, to end at the end of the current fixed term.

You would then complete .... and offer a new AST to start on the day after the old one ends, with the new rent.

Would that work? I'm not sure .... I think it depends on when you complete .... Any dates you can give us, even if completion date is just provisional?

This all depends on how long the current AST has been running for.

If he's only into month 4 of a 6 month AST then he can't do anything until month 6.

However if the tenants are good and know they've got a bargain then he could broach the subject verbally, after he understands at what point the rent could be put up.

Otherwise, if he doesn't or can't serve the section 21 and offer a new tenancy then he can't put the rent up within 12 months of the last rent review.

clutton_2

before completion the lender will insist on a new AST being in place with you as the new purchaser on the agreement. If the tenants dont sign this then the lender will only allow the purchase with "vacant possessoin" - ie with these tenants gone, and that will be up to the current landlord to get them out.

Debt_Free_Chick

clutton wrote: »

before completion the lender will insist on a new AST being in place with you as the new purchaser on the agreement. If the tenants dont sign this then the lender will only allow the purchase with "vacant possessoin" - ie with these tenants gone, and that will be up to the current landlord to get them out.

So the OP's choices are

To issue a new AST, with the new rent on it - and for the current tenants to sign this before completion.

Or

If the tenant's won't accept a new AST with the higher rent, to delay completion until the current LL evicts the tenants - when completion can take place with vacant possession.

clutton_2

DFC - yes that is my understanding. ~ Surely a lender would not accept having "his" property tenanted by an agreement over which he had no control - and if the person who actually lives there is not approved by the mortgage-holder - then how would the lender get vacant possession .....