Selling rental property- advice needed!

I do not think the eviction ban will impact as the termination date is in June.

I checked citizens information so I'm not pulling that from the RTB or whatever the government added to the tenancies act(s?)

https://www.citizensinformation.ie/en/housing/renting_a_home/if_your_landlord_wants_you_to_leave.html

Found that searching for winter eviction ban

Nonsense. Nobody wants to buy with sitting tenants. Why buy with a rent cap when an identical property is available with no rent cap? Why be stuck with tenants that have been vetted by a previous landlord and who may have lease terms which are not acceptable. In any event it is not possible to get a mortgage on a tenanted property and cash buyers will be looking for a hefty discount to even think about a rent capped property.

Sorry, but this is terrible advice.

Selling with sitting tenant means your buyer will have to be an investor - nobody buying to live in the property themselves will want to buy a house that has a tenant they need to evict before they can live in the property themselves. Banks will insist on vacant possession to provide a mortgage, so a sitting tenant means the buyer must be an all-cash buyer (no Mortgage). The only buyer that can take on this is an investor with 300-500k plus rattling around in his/her bank account. All this in a market where investors are selling - not buying. When you find this unicorn buyer, expect to provide a discount of 100k plus on the market value of the property. Besides, this mythical buyer is also going to be loving a tenant that you couldn't evict before the sale and who they haven't had a chance to vet themselves.

Good investor landlords are few and far between these days and they will expect a big discount when there is little competition from other potential buyers.

As a landlord, Ireland Inc. (government, opposition, media, charity sector etc.) sees you as a greedy fat cat who is abusing the ordinary decent people of this country. They dont care about you, or your rights - they only care about your tenant and their rights. They take the approach that the best way to protect tenants, is to remove landlord rights. There has been a constant stream of new initiatives along these lines, and there is no politician proposing any different approach.

I dont think you have missed the boat, but its getting close to sailing time. I would not be surprised if this "temporary" eviction ban is extended and extended. Remember, Rent Pressure Zones were also introduced as a temporary measure. Get the eviction notice in play and follow the RTB guidance to the letter (including notifying the RTB on exactly the same day as you issue the notice to the tenant).

House values may go up a bit (there is still a lack of supply) or down a bit (interest rates increasing and possible recession), but I'm not sure there will be much movement from flat oven the next year. Join the wave of small landlords leaving the market and be happy when you finally get out of the game.

Rtb have a template for you to use.

Double check your dates and add a few days.

The winter ban does not affect leases where a max notice is required.

Make sure you state that the reason for ending the lease is your sale of the property.

On the fact you bought in 2006 - I can show you that it was not the worst idea.

Add up all the very substantial tax relief you got through to 2014 (or longer)

Add up the rent you would have paid from 2006 - 2014.

Add the difference between your tracker and the substantially higher interest rates banks charged from 2008 and in particular 2011-2019.

Do the calculation and a 2006 buyer was better off that a 2014 buyer who rented and waited. Even at the elevated prices.

The only error you made was charging too low a rent

Jesus wept. You made your own decision to move, you made your own decision on the rent you charged.

If you'd stayed in the property you'd just have paid the mortgage and now be in positive equity anyway, how on earth is it the 'Gubberments' fault?

I'd take an educated guess the rent you were paying in the house you moved to was far less than what you were charging for the one you own. The mortgage was being paid at minimal expense to you for a long time.

Your OP comes across as an everyone else's fault poor me rant tbh

Says the person who equivocates us to a communist country in their 'advice'

Perhaps you should try living in one first and see how many rights you have.

OP said they rented 🙂

Hahah surely they know that. It would be hilarious if not.

About €500K I would imagine

I appreciate the responses like this (and they make sense), but there are places being sold with sitting tenants to cash investors right now, with close to market rent. It's not that difficult to due the due diligence of the suitability of the tenants at contract stage.

I'm not suggesting it's the only option, or the best option, but it is worth considering, especially considering they are desperate not to be landlords and are unsure how long the tenants would stay. A lot of agents have cashed-up investors looking for yield on their books, and the beauty of a sitting tenant is that there is zero renovations and zero gap in yield.

Hi,

As someone who has just completed the sale of an investment property the advice I would give is as follows

1). Max 224 days notice is not affected by eviction Ban so issue it accordingly. I followed the Template on the RTB site and all was good but make sure to dot all your I's and cross all your t's as time starts again if its challenged and not correct. You will also need a signed declaration of sale to accompany the notice

2). Be prepared for your tenants to overstay. I was lucky and they still overstayed by 2 months despite the 224 days notice.

3). When you have vacant possession I suggest putting a few quid into the property to tidy it up before you sell. I worked with my estate agent he recommended a few things and the asking price from before and after the work was considerable. I put just over 5k into the property and the asking price went up from his initial figure by over 25k

4). It's a rented property so you will be caught by capital gains tax. You will have relief from 2006 to 2014 but will have to pay 33% CGT on any profit you make. So in essence you assuming it split 50/50 from PDH and investment property if you get 50k more than what you paid for it you will be liable for capital gains tax on half the profit so 33% of 25k which is roughly 8333 - yearly allowance of 1240 and whatever expenses you can add to that.

5). Other fees you will have to look at are estate agent and solicitor fees which you can use to offset some of the capital gains tax bill.

Overall best of luck with everything.

Kevgaa.

I've viewed a couple recently. It's a discount, but not a steep one.

Are the tenants receiving RAS or HAP?

I’m currently selling a house to the council with sitting tenants. I’ve been looking to sell but didn’t want to evict the tenants so was waiting for them to go on their own grounds. But councils have now been mandated to buy where tenants would be evicted.