Selling a house with tenant in situ(14 Posts)
I kept my house when I moved in with Dh, just in case. Now ten years on we could do with selling it.
Current Tenants have been in three years and I don't really want to make them move out.
How hard is it to sell a house with sitting tenants?
Speaking as a tenant who has had a number of rentals sold around them I would like to pop in and say how incredibly unfair it is when landlords want their cake (rent per month) and to eat it (sell as quickly as possible). I would have much rather my landlords contact my DH and I and let us know that they plan to sell in a certain amount of time and let us move out, rather than receive letters like "We are selling, make sure the house is show home condition when the estate agents come to take pictures and show people around whenever they please."
To me, it was inconvenient and felt rather unfair indeed - we paid full rent for that period despite constant estate agents / viewers traipsing through, we certainly didn't have quiet enjoyment of the properties at all.
Only my opinion - I certainly understand none were my houses and the landlord has the right to sell, but a little thought to the people who live there wouldn't have hurt.
Thank you, that's helpful. I would let them know and give them warning.
I'm not sure they would find somewhere else easily and I know the house and rent suits them. I've been hoping they would move out so I can sell, but they haven't.
I'm not selling on a whim, I kept the house as I wasn't sure I was going to stay with Dh and I need to sell now due to a massive change in circumstances.
LottieL - I agree that is horribly stressful. And I think that I am right in saying that you do not have to agree to allow viewings. However for the sake of goodwill tenants often do - but it is your right not to.
It's not your responsibility to guarantee them a rental, that's not what I'm saying, just make sure to give them plenty of warning and allow them to get out of the lease early if they do find something perfect while you are selling. That's my advice.
As for selling with tenants in situ none of the properties I've ever rented actually sold while we lived there so I can't say if it's easy or hard, as two out of three didn't sell once we'd moved out either for a long, long time. The most recent is still on the market, has been since last year.
Very few buyers are interested in tenants in situ. It puts them off. The magic words are "vacant possession".
I know many mortgage companies will not mortgage a home unless it's empty as there is the risk they do not move out as requested or pay the new landlord
You are significantly restricting your buyer universe.
The new owner would have no reason to keep the tenants on with current rent etc.
Are there lots of rented properties nearby?if there Isa landlord with a local portfolio you might get lucky.
It also sounds like you want then to stay indefinitely.
I once looked at a flat that would have had 3-4m to run on the tenancy (before BTL mortgages were so different) and I would've lived in it after that, as it was just me, that might have worked. You are in a different position.
We did this. We did let the tenant know that we were going to sell and told them that they could move out but they chose not to. They didn't have to put up with many viewings though as the estate agent already had a landlord that was looking so he looked once and put an offer in before I had even advertised the property. We were lucky it went smoothly (and I'm glad to be rid of the property).
I would possibly offer a rent reduction for them to keep it looking tidy and clean for viewings and the option to leave at any time before you sell it for no fees if they want to. Ask your local estate agent if it will sell well as a rental with tenants in situ or better as a home with vacant possession then decide your next step and keep the tenants in the loop
Thanks all. I will keep them informed. I'll have a chat with estate agents today.
They dont have to allow any viewings at all.
Open communication, say you need to sell and do they want to stay with a new landlord? If they are on a fixed term tenancy they are staying until that finishes.
Your only other route is to issue notice. They may not leave after that, eviction can take six months or more. Then you can sell it empty.
I have seen a lot of houses in my local area come up on right move with tenants in situ, but they are always marketed as an investment opportunity. They seem to be the slowest to sell, I think it limits the market. I am selling my house and looking for a new family home at the moment and I wouldn't even bother looking at those properties, because houses sell quickly and I wouldn't want to keep my own buyer waiting.
I guess it depends on your area, some areas attract more landlordy types looking to expand their portfolio, some areas are really in demand and sell really quickly.
Having been in a position where the house I was renting was sold whilst we were there, keep your tenants in the loop, try and get all viewings on one day a week and be pleasant. It is very easy for them to scuttle your viewings if they are there, they have lived in your house for however long and know all of its negatives and foibles. They can also refuse viewings.
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