Tenants making viewings difficult

[areweonabreak]

We have a flat that we rent out. It was my DH’s flat before we met. It’s been rented out for 10 years now (by only 2 tenants) but we’re now in a position where our own house needs a lot of money spending on it and we want to free up some capital.

we do feel bad for the current tenant, we offered them first refusal to buy the flat (it’s on the market for £90k) but they cannot afford it (even though a mortgage would probably be cheaper than the rent but they’d another thread)

we’ve had a few viewings now but all the feedback is that the tenants have told them that they don’t want to move so they’re put off as they don’t want the hassle.

we live about a 40 minute drive away from the flat so the agents are sorting out all of the viewings. The agents have suggested that it might be easier to sell if it’s empty.

We’re really not sure what to do, they’re on a rolling monthly contract at the moment.

has anyone else been in this position before?

would anyone else recommend selling as a vacant property?

Apparently there are over 10,000 95% mortgage deals currently available.

www.money.co.uk/mortgages/95-mortgages

Serve them notice and sell it as vacant. It will be much less hassle.

WTAF

Why don't you lend them the money if you're so generous, or buy the property for them and gift it.

It's not rare, it's absolutely on offer with most if not every major bank. I am not sure what conditions do you mean, but they are afaik just standard conditions.
While the number of mortages offered with only 5% fell compared to previous years, they are still available.

And 10% is not rare either. At all.

Your chances of getting them are slim to none unless you meet their very strict conditions.

Give them notice and sell it empty.

We had the same issue with tenants we’d had for many years, despite lowering rent when they struggling and being good landlords. We’d told them we would wait to have people view the property until they had moved, as is their right, but they had said they were fine with viewings. They caused lots of problems with potential buyers. Never again.

The tenants are doing you a favour by allowing viewings. It’s normal that people who are looking at the flat will ask the tenants why they are leaving or if they have liked living there, to get info about the home, and so they may just be honestly answering questions. If they are actually going beyond that and telling the people viewing that they intend to wait to be forcibly evicted then that’s unfortunate but nothing you can do. If you want to be sure of being able to do viewings, and have more influence on how they go, you’ll have to market the flat empty.

Offer them 50% off their rent to allow viewings and keep the place in an appropriate state, if they refuse then give them notice. A void when selling is a predictable expense.

All we've told they said is that they don't want to leave. I don't think that's an unfair comment, if I were viewing a property with a tenant in it that's the kind of information I'd want to know. Yes, it would put me off massively but it's just the truth and there's not really any getting around that whilst it's still their home.

Why are people saying "ask them to do x and if they don't, give them notice"?
Op has to give them notice now. It's 2 months and possibly longer to actually gain possession of the property. You don't wait until you have a buyer to give notice, that could really delay the sale and would put most off.

You could make a deal with them, kind of paying for cleaner if they agree an open day on a Saturday and have few views that day. Although, I don’t think you can trust them.
Unfortunately, the only option the left you in an eviction. Good luck.

Actually no she can't just do as she wishes. She has legal responsibilities to her tenants. One of which is allowing them to have 'quiet enjoyment' of the property she is renting to them. They don't have to allow any viewings at all.

They don't have to allow viewing but if they don't they will have to leave earlier than they would if they did allow viewings because the owners will have no choice other than give the tenants notice to leave now. Surely it is in their interests to cooperate then they can take their time finding somewhere else to live.

The agents could be helpful and considerate and have proposed a time (say a couple of hours one morning or afternoon a week) when viewings take place. Earn their money for once.

I am in exactly this position and from my point of view its hell, I have people traipsing through my home two or three times a week. I have two autistic sons, my eldest one rarely leaves the house, but now we are forced to sit on our own front wall whilst people look round our home. Been living in this hell since last year.
@areweonabreak evict your tenants and sell the empty house, have some respect for the people who have paid rent for the last 10 years and give them some dignity. We have none and are living in some sort of hellish limbo right now in the middle of a housing crisis and with nowhere else to go to.

Just serve them notice. Shame really if they had played ball they might have had 4 months to find something else instead if 2. I wouldn't buy a property with a sitting tenant unless it was to rent out.

Turf them out YOUR property as soon as you legally can. Not worth the hassle doing it why they are there. Put some money aside to pay for any damages that will probably occur.

give notice and then sell

That's a shame that the tenants can't afford to buy your house off you. There's no way to work with them to get the deposit together so they can buy it? If you have to go through eviction, legal costs etc if they refuse to go, and then covering council tax etc etc while selling it as a vacant property, you might end up spending as much as including whatever % of the deposit.
The alternative is to sell as a buy to let with fabulous sitting long-term tenants.

You don't have to be in this position. As said many times above, you do not have to allow viewings.

It clearly was.

I've seen properties up for sale with tenants in situ, can't you market as an investment property and see if a landlord/property portfolio person bites?

Another one saying follow your contractual procedure and give legal notice and only market the property after vacant.

Trying to have rent coming in from tenants AND to market it for sale at same time is trying to have your cake and eat it.

Never mind the issues you’ve had already, bear in mind that no-one can exchange and mortgage companies won’t release any money until properties are vacant……and you can never guarantee a property will be vacant until it actually is. Many tenants don’t move out when they are expected or when notice expires and have a legal right to legal eviction proceedings which can take many months. No LL or buyer can be sure that won’t happen. This is a key reason why it it advised to have vacant possession before marketing.

So many so-called accidental LLs decide they need to sell, but haven’t factored into their costs and revenues that it is inevitable that there will be a vacant period with no rent incoming, because they need to have vacant possession to market and then until they actually complete on the sale. Lots of amateur LLs say they can’t afford to have this void as they have to pay their mortgage. Well this means they couldn’t afford to be a LL, because it is pretty inevitable that this will happen….not knowing suggests a lack of through investigation into the issues of being a LL before starting.

Everyine thinking about being a LL should also consider what will happen when they don’t want to do it anymore and the costs and issues invovled in stopping. There is likely to be capital gains tax, plus a period of no rent whilst the property is marketed and sold, quite likely some money to be spent on a few repairs or decorations. Plus, vitally, LLs need to appreciate the timescales invovled in giving legal notice (can’t be done until at least 4 months into a 6 month contract) and factor in that a tenant might not leave when expected and legal eviction processes might be required. Essentially it means a LL wanting to sell, probably needs to be serving that notice close to a year ahead of the date they need to sell. Lots of amateur LLs haven’t thought that through and the cost implications.

I know, but with so little information from the LL what do I do, emails saying you might get to stay, you might not, the house might sell, it might not, I haven't given you notice yet....

There's the unsaid threat hey! And no indication of how long he's going to try selling for.

I'm in a similar position and will ask the tenants to move out then sell vacant. It does mean missing out on the monthly rent but it can be cleaned and staged and hopefully sell quicker. Swings and roundabouts.

If I was a buyer, I woukd t view a property with tenants in it…for the reasons mentioned above. It could easily be a year until the sale could complete.

If I did somehow view a property with a tenant in situ, my first question would be about when notice had been served. I woukd expect the estate agent to confirm they had seen documentary proof of it. If legal notice hadn’t been served, I would run for the hills. Remember, at least 2 months (from the date of ren being due) notice is necessary and sometimes more time has to pass before it can be served, depending on the contract. So, a tenant is extremely likely to be around for many more weeks….and crucially there’s no knowing how long for, as legally they can remain after it expires and go through long drawn out legal eviction proceedings.

Most solicitors will advise a buyer that a property with a current tenant is problematic and can delay or scupper a purchase.

As a seller, you need to realise that and as so many have said, serve notice, wait for vacant possession and then market it.