Neighbour has rented out our property abroad without permission!

@Katiesaidthat

I rent in Spain, the flat I live in belongs to my landlady (and a few other flats too). If she were to come in when I am away and change the locks, I´d report her to the police and start a denuncia, and take her to the cleaners. Just saying.

Even if the flat wasn't rented out to you by the owner but illegally by some random person?

@canyon2000 @LaughterLentil
I think the OP means her father was supposedly Getting the money but it's become apparent that the neighbour has rented it out far more that admitted and pocketed the money himself.
^
The agreement was occasional rental which he was given cash for when he went over but the neighbour has been renting it out on an almost permanent basis instead and keeping the money.^

Not just broken Spanish property laws, but probably he and the neighbour have been defrauding tax authorities in both countries.

I'm not a tax expert, but I have an idea that HMRC frowns on people being handed "big bundles of cash" without any provenance.

Yes, how would you feel if you were renting a place and came back from a day out to find the locks had been changed??

Not sure how it works abroad but even squatters can't just be turfed out here. You need to go through the courts. You may not just be able to make a family homeless with no notice.

I rent in Spain, the flat I live in belongs to my landlady (and a few other flats too). If she were to come in when I am away and change the locks, I´d report her to the police and start a denuncia, and take her to the cleaners. Just saying.

Yep, sounds crazy innit! however if someone is living there, legally or illegally, and as it is not the owner first residence, the occupiers rights to an accommodation trumps OP father rights as owner.

Changing the locks and giving the tenants new keys, probably fine. Changing the locks to exclude the tenants and making them homeless, that's going to be illegal isn't it?

It's not the changing the locks that is the issue it's the kicking someone out of the home that is the concern.

While a short consultation with Spanish lawyer might be useful for understanding the situation, I would recommend to stop and think whether going fully official is going to improve the outcomes.

Speak to the neighbour. Surely the unexpected accrued rent can cover another place to spend your holidays. Keeping it civilised with the neighbour and finding a way forward together sounds like the best option.

God, what a mess. Is it being rented out as a family home or a holiday let? Do you know if it's been done through an official company like Air BnB or informally - ie not above board and all paid cash in hand?

If I was you, I'd sell the place. You can't continue to live next door to someone who has undoubtedly been scamming you, and your dad could be in trouble for all the cash-in-hand payments that he's presumably not been declaring. Better off getting rid and buying something else if you still want a place abroad.

@Kirstk illegal to change the locks on THEIR own property?

The tenants are currently NOT squatters, they're rent-paying tenants.

This kind of approach is a quick way to turn them into squatters.

Add in the facts that both OP's dad and the neighbour have been acting illegally for many years, scamming tax in both jurisdictions, and most likely have not met the legal duties of a landlord ... and you really don't want to be escalating this, because you will lose.

Even in the UK, the tenants could take both owner and neighbour to the cleaners. In Spain, if antagonised, they could do that while invoking their right to stay in the property - and OP's dad would still be obliged to ensure they are safely housed there.

Best bet's going to be a quiet collaboration with the neighbour, tying up the many very messy loose ends and working how much income to declare for tax purposes in both countries.

First, you'll need a deep dive into the facts, @unsurebut! Good luck 😬

Oh dear, what a mess! I think you need professional advice asap

Father has been accepting rent, so they're renters not squatters.

Surely suing the neighbour isn't wise when they are in the know about the degree of tax evasion, licensing, H&S stuff etc?

I think the best option would be to find out exactly what has been agreed with the current tenant (is it the same people who are due to stay til Jan, or has he booked in lots of shorter stays between now and Jan) and confirm how much money that will make your dad, so the neighbour can't skim off more than his dues. Instruct the neighbour that there will be no more letting out after Jan.

If I were your dad I would have to declare the income for tax, but that's because I'm a worrier and I believe in paying tax.

What a stupid thing for your dad to have done, OP, I feel for you.

So your father IS aware its being rented then...

Can you link it please

I'd the neighbour Spanish National living in Spain? British National or other Nationality with Spanish citizenship living in Spain? or British national living in UK.
If is the first or the second may be easy for you and your father to sue him once you know what is the truth of what us going on.

What a mess.

But there is time to get a local solicitor involved and give the current residents notice to be out by the end of May

No idea what rentals are like in Spain but even had it been legally done a date of January sounds as if it was a short term / fixed term arrangement.

It’s frustrating but in truth the casual way this has been handled by your Dad has contributed to the situation and over the years it sounds as if the neighbour has kept the place from rack and ruin. It could have been rented out through an agency with associated costs, taxes etc.

Hopefully notice can be given and the place vacated without too much further drama.

Illegal to do so in spain

If they're renting through air b&b it can be booked for months at a time.

'Bundles of cash' but not a single contract between renter and agent/owner!?

This could potentially be very serious OP. What dodgy goings on renting out a property with none of the necessary paperwork in place, not to mention the tax implications.

I wonder if the neighbour would have tried to do the same thing if the holiday home was in Cornwall...

You need a very clear picture of the current situation and any documentation of historical rentals. Spending holiday time there in the summer is the least of your worries atm.

This ^^

Sorry OP, it sounds stressful. I would be seeking some legal advice.

The rent he’s received has been in bundles of cash rather than a regular payment, so although he’s had some money it’s not been formally agreed that £x is for this particular rental, it’s been way too informal.