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How quickly can cash buyers go to exchange/completion, no chain etc. What are the risks of them moving in 'Under licence?

(17 Posts)
JulietteMontague Thu 06-Feb-14 16:34:50

I have a couple that have put in an offer on my property. The estate agent says they want to move in almost immediately due to family circumstances (staying with inlaws, man apparently having nervous breakdown). The estate agent is saying the offer is conditional on this and they want to rent the property on a AST for 2 months when completion would take place. I do not want to take the risk on this as they then do not have to complete at all and my property is then occupied. The estate agent has said the solicitor's work will take at least six weeks, cannot be done faster.

So, what would be a reasonable best case estimate for them to exchange and complete? I can be ready asap, no chain. Also them living there 'Under Licence has been mentioned by estate agent but says this is risky. I don't understand what that is. Grateful for any opinion.

Musicaltheatremum Thu 06-Feb-14 18:59:42

I am not sure of all the answers but I put an offer in on the 14th June last year and we got possession on the 30th July. It would have been sooner but the tenant had to move out otherwise it could have been 4 weeks. If both sets of lawyers pull their fingers out it can be reasonably quick.

MyBachisworsethanmybite Thu 06-Feb-14 19:03:37

I think Under Licence means without a tenancy agreement.
I wouldn't agree to this proposal. Hold out for someone else, or they can live in a holiday cottage for Agee weeks: it's not your problem so don't let them make it yours.

MyBachisworsethanmybite Thu 06-Feb-14 19:03:58

A few

phoolani Thu 06-Feb-14 19:08:59

Depends if you use the Standard Conditions of Sale - they contain a provision regarding occupation by the buyer, as a licensee and not a tenant. You need to take a look at the conditions if you're still considering it.

phoolani Thu 06-Feb-14 19:10:24

And I think 6 weeks could probably be shortened by a bit, too, but will depend on the property.

specialsubject Thu 06-Feb-14 19:40:21

no such thing as a fully legal AST for less than six months. Agent is bullshitting.

searches and survey are six weeks min (did it). They can rent a holiday cottage, it is February.

as you note, not your problem.

puppy123 Thu 06-Feb-14 19:44:14

I was lucky enough to buy my first flat cash due to inheritance money and we were in within 4 weeks of making an offer (took a lot of hassling solicitors though).

Flibbertyjibbet Thu 06-Feb-14 19:44:19

Don't do it.
They could back out of the sale/squat/damage the property.

Tbh a reputable estate agent should not suggest this! Your Own solicitors will advise strongly against it.
Tell them to rent elsewhere.

tomatoplantproject Thu 06-Feb-14 19:48:29

We went from offer acceptance to exchange in 3 weeks.

We had everything lined up already including mortgage, solicitors etc (we had been ready to exchange on another house that had fallen through days before we found this house). I know someone who did it in 10 days but they had willingness on both sides (I think it was a condition of the purchase) and everyone working at top speed. It helps that both dh and this friend work in the property industry and are well connected and able to pull favours.

I wouldn't let anyone take possession of a house until money in the bank.

Preciousbane Thu 06-Feb-14 19:51:42

Message withdrawn at poster's request.

HauntedNoddyCar Thu 06-Feb-14 19:54:36

Under licence was something we explored. It was suggested as a way of everyone moving on the agreed date when there was potentially a last minute hitch. I understood it to be something that happened after exchange only so that the purchase was going through and would complete. Not something that happened before exchange though.

I wouldn't let them move in before exchange.

MooseBeTimeForSnow Thu 06-Feb-14 19:56:56

I know of someone who moved in on licence and decided to knock out a supporting wall ....

monkeyfacegrace Thu 06-Feb-14 19:59:45

I did offer to exchange in 14 days.
Searches are a standard 10 days, so get them paid for and requested on day 1.
Find a solicitor that is willing to take it on on those conditions.
Ive done it a few times (BTL's)

Anniegoestotown Thu 06-Feb-14 20:05:23

Did buy a very cheap house for cash years ago. We offered on the Monday and had the keys by the Friday. But that was years ago and everything has slowed down since then.

fledtoscotland Thu 06-Feb-14 21:51:13

Since searches are done online in most local authorities, you are governed by survey times & the mortgage company. In my limited experience we offered, surveyed, renegotiated, exchanged and completed within 4wks. Have known cash purchase on a BTL done within the week.

JulietteMontague Fri 07-Feb-14 12:54:17

Thank you for all your replies, it seems I was right to be wary of the rental ideas. Also thanks for the reminder it is not my problem if they can't ask a solicitor to act quickly. The estate agent seemed a bit odd about the whole thing with the story changing on each ranty conversation. Every refusal was meant with a flounce "that's it then, the offer is off the table". Finally had to use the MN 'that doesn't work for me, repeat.

Update, after more of the same, late yesterday I had a reasonable offer from the same buyers who "found extra funds" to buy the property. Still cautious because of the shiftyness of the estate agent but the paperwork has started so fingers crossed. Until 2 days ago I had never had any issue with the estate agent until this 'Manager' took over. I was almost beginning to wonder if it was her own parents she was trying to shift grin

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