Simply don't know what to do.

[Cantgiveitaway]

4 years ago we inherited a house. It has been on the market for the entirety of that time. It is on sale for approx 25% of market value. Reasons below:

The property is non-standard construction and therefore unmortgagable (we have explored this extensively).

It has a sitting lifetime tenancy on a peppercorn rent. Tenant is in their 70s and in good health.

We cannot sell it due to the above.

For those unaware, lifetime tenants cannot be evicted and the rent is very tightly controlled. We have increased it to the maximum allowed every year for the 4 years we've owned it. It still doesn't constitute £1000 a year.

We do not have any more money to put in to the property. We've done the legal required stuff. We've explored legal avenues for eviction ABD offered to give (gift) the property to the sitting tenant.

We basically need someone to come along with enough money to keep the property legally for 20+ years before they can do anything with it.

The most recent gas and electricity safety checks and the EPC have shown significant work needed in the next 12 months to keep it legal. We can't do it. Our only option is to sell our home that we, move in to a much smaller property in a different area (moving children's schools and away from family) and renting ourselves.

We have 0 savings because of the house and cannot afford basic things for our own home.

I just don't know what to do.

WWYD? We literally cannot give it away - we offered it to the LA and to a social landlord and a landlord with an extensive portfolio in the area and all said no.

In 20years, when the tenant dies or moves in to care the land might be worth something (and therefore sellable) but we can't wait that long. We had absolutely no idea the property existed until we inherited it and I've no idea why we did.

Any out of the box thinking here from the hive mind?

No, it wasn't insolvent. He had several properties in a few different countries.

Why would that be attractive, to the tenant though, they have a dirt cheap peppercorn rent, a secure lifelong tenancy etc. How could they be accepted for a private rental? When most are subject to income, to pass referencing. The local council may say they have made themselves homeless and refuse to help. This unfortunate situation is not of the tenants making, as the poster has made clear on a number of occasions.

Just an idea. If the right value of the house is say for example £200k and you can only market at £50k, have you looked at the legal picture of offering the tenant a cash sum to voluntarily leave? It would be an idea getting it revalued on the basis that the property is freehold and calculate from there. I know someone who did this about 20 years ago. Property could only be sold for £40k and worth 180k. Within 8 weeks, the tenant had gone. No idea of amounts exchanged. Options for finance could be a bridging loan, if you think you can get it sold within a year or extend the mortgage on your house temporarily. Do look at carefully, you may kick yourself in a year

Errr, because some people nearing the age of death might fancy 100k? Use your brain.

This was a complex estate - executors are personally liable for errors (from what I understand.) If it can be proven your DH's dad should have planned for maintenance on the property your DH inherited by paying out from the estate, he will be liable for those costs. Unlike a lawyer making a mistake he won't have insurance.

I think your DH's dad needs to help you fund the repairs and sort this situation out, especially if he also inherited (did he)?

I guess no one mentioned this at the time - even the property lawyer who advised on the status of the lease? But maybe it's a different type of law (inheritance)??? Or, I'm wrong. (Most likely.)

He's dead.

I am so sorry. Maybe you had said this.

I did. But more my point was it's not an avenue for exploration - may have been helpful when he was alive, but he was very ill at the time and probably wasn't in the best place to be executor. His wife (my MIL) inherited his estate on his death, she is in care in Spain and not with it at all. The estate is paying for her care and we wouldn't want to try and claim against it or anything. DH is the only family member living in the UK (although all are British) DHs dad inherited a property in Spain (where they lived), SIL a different property in Spain (where she lives) and we got the British property. I guess the thinking was that we were in the UK and so got the UK house.

Sorry, that sounded snarkier than I intended. The thread has moved quickly so it was easily missed.

The property is of non-standard construction, on a small plot of land, unable to get a mortgage, I very much doubt the OP could offer £100k to the tenant, for the property to be vacant. Given all the expense they have had so far. The tenant is only in their 70’s, could live well into their 90’s.

Sell it to ziphouse or similar.

You had said he had died, I'm sorry I missed that.

Yeah, a "claim" against your DH's relatives is a no go. Like I said above, 'shit' , when I realised who the executor was (not a third party.)

However, is there any possibility that his sister would provide even an interest free loan to cover the works you absolutely have to do to avoid a disaster?

Does she know how serious your situation is?

I'm guessing the property she inherited are not so complicated.

I would feel awful if my sibling were in this situation.

ED to add: I didn't take it as snarky, what a tricky position you are in!
ED again: There is just one sibling!

The OP states in a previous post that it would be worth "80-100k, maybe more."

There are alternative retirement accommodations/potentials for that or a lesser amount that have the potential to be much nicer, given they've said the property hasn't been updated since the 70s. They might not want to consider moving but could have a seed of doubt with a substantial windfall.

God forbid someone might try to make a
suggestion having read the full thread 🙄🙄

This might be a naive suggestion, but have you tried explaining the situation to the tenant and appealing to his better nature?

Essentially, he has benefited for years from virtually free accommodation, a privilege given to very few people. Now you are facing having to sell your own home, move your children from schools etc., just in order to subsidise him by continuing to maintain his home at your expense. If you put it like this, might he consider accepting the property as a gift, just to free you from the responsibility?

Obviously there are other legal avenues suggested here that you will want to pursue first, but it is worth trying?

I do wish you luck; it sounds very unfortunate.

We don't have that sort of money to offer them and it wouldn't buy them a retirement property in the location even if we did. But they simply don't want to move. It's the only home they have ever had and they are happy there.

Re the house not being updated - that's the choice of the tenant, they are responsible for internal repairs and improvements like decorating etc. we are structural, electrical, boiler.

Of course, you can make a suggestion to try to help the OP, that is the purpose of the thread, to pool ideas.

Unfortunately, retirement properties often come with have very high maintenance fees.

The sitting tenant in this case has only ever known this home and has learning difficulties according to OP previous posts. I would assume the home is very sentimental to them, however much updating it needs and wants to remain.

Ok, so options to explore (some can be done in parallel):

• auction (simplest but already tried once)
• "we buy any house" type companies
• other grants and funds we haven't already tried to fund repairs
• appeal rent cap
• family loan (some family dynamics to consider on this one, which is why we haven't already pushed this one)
• look at a loan for the repairs in hope of lifting rent cap in 18months
• explore legal ramifications of liquidating a company that owns the property
• divorce husband, leave him with only that property and declare him bankrupt
• see if any charities would take it

Any I've missed but not already tried?

Hence why I asked OP, with no response, why rejecting the inheritance as soon as all this became clear was not the first point of Call as supposed to rent review, increasing rent, et cetera et cetera

I've answered, multiple times and in detail.

We weren't aware it was an option and as soon as we were aware, it was no longer an option.

How the hell do you rent a room in someone else's house against their will?

If not bothered by making any money, can you gift it to the tenant?!

Oh you're having a laugh now...

You’re trolling the OP right? That’s quite mean.

Yes, I am about to do it, to avoid liability for a house in terrible disrepair.