Would you bid for house with tenants living in

didka

As title the estate agent insists they are house sitter and not tenants and it won't be an issue
We are looking to buy home and don't want to be landlords at all.

What kind of reassurance/questions should we ask?

Walk away or not?

Ea seems to be able to organise as many viewings as needed and the tenants cooperate.

hawkelady

didka wrote: »

As title the estate agent insists they are house sitter and not tenants and it won't be an issue
We are looking to buy home and don't want to be landlords at all.

What kind of reassurance/questions should we ask?

Walk away or not?



Ea seems to be able to organise as many viewings as needed and the tenants cooperate.

Ask estate agent that you want to see proof that the aren’t tenants or ask to see their termination notice. Banks won’t transfer funds without vacant position anyway

antiskeptic

didka wrote: »

As title the estate agent insists they are house sitter and not tenants and it won't be an issue
We are looking to buy home and don't want to be landlords at all.

What kind of reassurance/questions should we ask?

Walk away or not?

Ea seems to be able to organise as many viewings as needed and the tenants cooperate.

Your contract will be signed subject to vacant possession. You check the property is vacant before you close (alobg with the other things you need to check). No need to be an accidental landlord.

The trouble is that you'll be aways along, racking up legal fees to get to contract signing stage. And if it turns out the tenants won't move you don't have to close but you will have lost the money spent.

You can't get insurance on unoccupied property, hence perhaps, the house sitters.

What you.migt suggest is that the vendor lodges a bond with your solicitor to that if failing to provide vacant possession and you are forced to withdraw, the bond (to cover your expense and inconvenience) will be forfeit.

If the vendor is telling the truth then what matter a €15k bond?

ChewBerecca

We were the only offer on a house with tenants (estate agent assured us they had been given notice and were there less than six months).

After 12 weeks sale agreed, tenants were still there, vendors solicitor was ignoring our inquiries for their leave date and the agent was pressuring us to sign. Turns out they had not been given a termination date so we had to wait another month after threatening to pull out which forced a date in writing. The vendor wanted us to sign before they booted the tenants which we refused.

We are due to get keys this week but it's been the most stressful, long winded experience because of the tenants still being in the property. We are one of the lucky ones in that the tenants left on the date they were asked to, but had the house been empty when we submitted our offer, we would have closed within the month.

Gumbo

Bid - Yes.
Buy - No.

endacl

kceire wrote: »

Bid - Yes.
Buy - No.

This. No issue with tenants when I bid, but I wouldn’t be handing over s cent without vacant possession.

Dav010

antiskeptic wrote: »

You can't get insurance on unoccupied property, hence perhaps, the house sitters.

Yes you can, it’s a niche product offered by only a couple of insurers, and it’s expensive.

Op, if they are only house sitting, there should be no problem with vendor getting them out now. Every EA would advise a seller that vacant possession is required in most sales, it is easy for them to drop this in your lap to deal with.

Forty Seven

I bought a house with tenants. They were well ensconced, long term, chickens, dog, the lot. EA promised vacant possession. I went and asked the tenants if they had issue with me buying the house. They weren't happy about it but understood I was just a buyer. They said they were having trouble due to their animals. I decided they were serious about moving and commited. They were gone by contact signing.

It's not always an issue. Sometimes it works out just fine.

antiskeptic

endacl wrote: »

This. No issue with tenants when I bid, but I wouldn’t be handing over s cent without vacant possession.

You don't hand over a cent until contracts signed. Which is a long and expensive way along the process. Why bid if you won't go sale agreed? Why sale agree if you won't survey? Why survey unless you engage a solicitor.

Best ensure you are protected against problems that only emerge post contract sign from the get go.

I know you can sue for breach if the tenants don't shift (failure to meet contract obligations) but thats a hassle you don't need.

Raising the question of a bond at the start will flush out the truth.

didka

To be honest I think the EA is not being very upfront. He first said house sitters. He told my husband let me check with the tenants. He keeps saying they have no rights but they will be given fair notice. I ask what is this notice and how long they are in the property and he isn't answering. He keeps saying only after sale agreed this will be answered. I said no, I need clarification/reassurance now.

He said he will have some more information for me this or next week so lets see. It's more the fact that the story is changing little gets me concerned about it

Cash_Q

We bought a house that had been rented.

Viewed house and offer accepted in Nov on the basis that the tenants would be gone in four months.

Contracts were to be signed in January, the day of signing we were told tenants' notice period was to start again because the vendor (their landlord) had failed to issue a statutory declaration that the house was being sold. The declaration was issued that day so their new notice period gave them until August to stay.

We were annoyed (raging at the time) but luckily not in a hurry to move, so held our ground and signed anyway, fully prepared to wait until August. Received a call from our solicitor in early March to say the tenants had left as they found somewhere else and we could close asap. Received keys end of March and moved in early April.

It was a massive stress at the time, wondering if they'd overstay their notice period etc, but our solicitor was familiar with such scenarios and assured us that we had the right to pull out if they didn't leave in a reasonable timeframe. I can't remember the wording now but it gave us peace of mind.

My advice would be to email the EA and say your offer stands and you remain interested in the property, but would appreciate clarification on the following

- status of the people currently in the house (tenants or sitters)
- notice period required for these people
- is there a requirement of a Statutory Declaration to proceed with the sale (if they're tenants, there is), and if so has this been issued and when was it issued

If they're still evading this basic information, I'd move on and make offers on other properties.

sk8board

your solicitors role is to protect you from buying a house that has tenants in situ, hasn't got LPT paid up, hasn't got their maintenance fees paid (if applicable) and so on and on.
the answer is still the same- Bid yes, buy no

antiskeptic

sk8board wrote: »

your solicitors role is to protect you from buying a house that has tenants in situ, hasn't got LPT paid up, hasn't got their maintenance fees paid (if applicable) and so on and on.
the answer is still the same- Bid yes, buy no

There was a guy on here not so long ago who bought a house only to find the council had already compulsory purchased the bulk of the front garden for a road straightening scheme. It appeared on the land registry map but the solicitor didn't notice it. I wouldn't be relying on a solicitor when I could easily ensure self protection myself.

You don't deal with the issue between bid and buy. Neither the timescales involved nor the expense involved. Sure you can pull pre close. But what use that to anyone?

didka

I was told that

"The period of Notice that will be given to the caretakers will be 6 weeks from the date the Contract for Sale is signed by the Purchaser."

I am not sure what to do. I will reach out to my solicitor today and see what is his view

didka

bummer, he wants signed contracts before he even give notice. If we got on this train there will be extra stress on top off everything else that goes on with the regular process of house buy

Lets see what my solicitor comes back with but I am thinking we will should move on

ChewBerecca

Our solicitor told us to walk away if they were insisting we sign before notice was given so we told the agent we were pulling out unless they stopped playing games.

We got an email back the same day confirming the termination date as did our solicitor.

Cash_Q

Crazy to expect you to sign before notice is given, the "caretakers" could well challenge a 6 week notice period. You'd want an iron glad contract stipulating that the purchase is hinged on this 6 weeks price period. You must really want this house?

didka

Cash, I don't want to dismiss suitable house too easy as we are looking for awhile now. But currently, it's not on top of my list and it's going quickly out of it. I am not going to approach the EA anymore. If approached I will say we need to see the caretaker agreement and notification have to be given before we sign contracts. Else we are out.

Claw Hammer

If you sign the contract subject to vacant possession and make time of the essence in the contract the vendor will have to be sure they can get the tenants out on time when they sign the contract.