If someone buys a house that's currently a holiday let, do they have to honour existing bookings?

[NotActuallyAMum]

That's it really. For a work colleague, not me. I wish

[Onthebottomwithawomansweekly]

I'd say it depends on the sale agreement they sign (don't you see a lot of For Sale signs with Current Tenant not Affected - but that's normally on commercial properties).

Depending on the bookings, and if the fixtures and fittings come with the property, it might be worth it to honour existing bookings!

[MoreBeta]

The contract is with the current owner - not the person buying.

Therefore, unless the new buyer is going to get the fee for the booking and continue renting it out themselves then no they have no obligation to honour any booking made in the past.

The current owner just has to wait until all bookings have been serviced and then complete the sale after that.

[NotActuallyAMum]

Interesting

Apparantly the seller isn't keen on stopping taking bookings in case it doesn't sell, there are bookings well into next year already. My work colleague doesn't want to rent it out if he buys it

He really wants it though, his wife has fallen in love with it big time. Could they arrange through solicitors that they'll buy it in June (I think that's when he said the last booking was) on condition that no bookings after that are taken in the meantime? If something along those lines is possible they'd happily wait a few months

[Collaborate]

They can agree what they want, but they'd be mad to buy it encumbered with a contractual responsibility to honour the bookings.

I agree with MoreBeta.

[NotActuallyAMum]

Thanks all, have passed everything on

He's going to keep an eye on it whilst also looking for something else. They can't help thinking it might be too much hassle to buy this one, gorgeous though they say it is. They think the owner is hoping to sell to someone who's going to carry on renting it out

Thanks again

[MoreBeta]

Just one 'legal' thought I had.

Most standard house purchase contracts stipulate that the property has to be 'vacant possession'. In other words no one else has a residual right to occupy the property. In this case, that would not happen until June 2013 unless the bookings can be cancelled.

Alternatively, if the bookings cannot be cancelled, another way of doing the purchase is to sign the contract now and secure with a deposit but do what is called an extended completion where the final payment does not happen until June next year. It is quiet risky though and complicated as someone else has control over a property for a long period that you have paid a deposit on.

[Collaborate]

Someone with a holiday let only has a license to occupy - this is a contract between them and the current owner, not any new owner, and it won't bind the buyer.

[FireOverBabylon]

There's nothing stopping you buying a house which is currently a holiday let and using it as your own residence. You might get pi$$ed off holiday makers turning up at your door once you've moved in, but their agreement was with the property's previous owner.

It sounds as if the vendors' want to sell the property as a business, rather than as a house, and should market it accordingly, not just hope that your friend will carry it on.