BTL - Tenant notice
Discussion
-BFG- said:
We’re all well aware of being tarred with the brush “ landlord won’t do anything, house is a mess” etc etc... it’s this that I want to avoid.
Yes, but you are considering evicting a good rent paying tenant though no fault of theirs, so you are in the same camp, to do it properly would be to put tenant up in alternative accommodation & then after the refurbishment is finished move the tenant back into their home. Interesting thread as we complete on a BTL purchase today.
We purchased with sitting tenants (5 year with good history) and put in an aggressive offer way below the asking price - which to our surprise, the current owners accepted. we made it clear that we were going to leave the tenants in situ although they pay about £100 per month under what we could probably achieve with a fresh lick of paint etc
A bird in the hand is worth two in the bush so happy to continue with our tenants with a new agreement signed.
We purchased with sitting tenants (5 year with good history) and put in an aggressive offer way below the asking price - which to our surprise, the current owners accepted. we made it clear that we were going to leave the tenants in situ although they pay about £100 per month under what we could probably achieve with a fresh lick of paint etc
A bird in the hand is worth two in the bush so happy to continue with our tenants with a new agreement signed.
Candellara said:
Interesting thread as we complete on a BTL purchase today.
We purchased with sitting tenants (5 year with good history) and put in an aggressive offer way below the asking price - which to our surprise, the current owners accepted. we made it clear that we were going to leave the tenants in situ although they pay about £100 per month under what we could probably achieve with a fresh lick of paint etc
A bird in the hand is worth two in the bush so happy to continue with our tenants with a new agreement signed.
^^^^ agree, and a similar situation that I once followed. The OP needs to first ask his solicitor, to ask questions on possible rent arrears, any issues with tenants, with the seller's solicitor, and then the OP possibly needs to discuss his intentions, and their intentions with the sitting tenants. We purchased with sitting tenants (5 year with good history) and put in an aggressive offer way below the asking price - which to our surprise, the current owners accepted. we made it clear that we were going to leave the tenants in situ although they pay about £100 per month under what we could probably achieve with a fresh lick of paint etc
A bird in the hand is worth two in the bush so happy to continue with our tenants with a new agreement signed.
-BFG- said:
Afternoon all’s,
Apologies for yet another BTL thread however I’m hoping the PH Collective can shed some light for me...
I’m in the process of purchasing a BTL, however the agents have told me that I need to give the current tenants 4 months notice due to covid regulations.
Buying a house with sitting tenants is new to me and not what I want in an ideal world however the market is moving quickly and not much is staying up for long.
The rent is currently below what I want so I would be increasing anyway.
They’ve been in the property three years, I will be increasing the rent by £50 to match the street.
They have an AST with the previous landlord I Just don’t want the hassle nor expense of an eviction.
I can’t see anything specifically which covers purchasing a property and the tenant being handed their notice ...
How do I get them out prior to/on completion apart from a brown envelope ?
you are the problem with housing today. you receive rent form perfectly sound tenants. you are passively in receipt of income that you dont work for and want to make people homeless because you are greedy. this is a social disease called landlordism.Apologies for yet another BTL thread however I’m hoping the PH Collective can shed some light for me...
I’m in the process of purchasing a BTL, however the agents have told me that I need to give the current tenants 4 months notice due to covid regulations.
Buying a house with sitting tenants is new to me and not what I want in an ideal world however the market is moving quickly and not much is staying up for long.
The rent is currently below what I want so I would be increasing anyway.
They’ve been in the property three years, I will be increasing the rent by £50 to match the street.
They have an AST with the previous landlord I Just don’t want the hassle nor expense of an eviction.
I can’t see anything specifically which covers purchasing a property and the tenant being handed their notice ...
How do I get them out prior to/on completion apart from a brown envelope ?
Tyre Smoke said:
To say he doesn't work for the income isn't fair. There is work involved.
However, I agree with your sentiment. Booting out decent tenants is not a good look.
Glad that we agree in principal. Some people in London/Brighton have to hold down 2 or 3 jobs to pay landlords exorbitant rents. sometimes over half of their total income. This means that they are always tired and cannot engage with normal social arrangements or pastimes. Compared to such people a bit of liaison with a builder or arranging a BTL mortgage is indeed passive and not what I would call work for a guaranteed return on the value of the property alone, not to include rent etc. All because they can obtain a mortgage that is out of reach to tenants and young people.However, I agree with your sentiment. Booting out decent tenants is not a good look.
Everyone’s assuming they’re decent tenants…
I am waiting for this information from the solicitor.
The comment of not having to work is unjust, the finances for purchasing the BTL don’t just magic themselves up or come from the bank to mum and dad. Landlords still have risks and responsibilities with letting a property/properties.
They still have mortgages to pay, gas/electrical certs, insurance and then the repair bills when they are needed.
Everyone’s quick to defend the tenant in every situation and state the landlords a greedy banker.
I’ve not said I am evicting them, I’ve said buying a tenanted property is new to me and in an ideal world I would like it vacant.
I am waiting for this information from the solicitor.
The comment of not having to work is unjust, the finances for purchasing the BTL don’t just magic themselves up or come from the bank to mum and dad. Landlords still have risks and responsibilities with letting a property/properties.
They still have mortgages to pay, gas/electrical certs, insurance and then the repair bills when they are needed.
Everyone’s quick to defend the tenant in every situation and state the landlords a greedy banker.
I’ve not said I am evicting them, I’ve said buying a tenanted property is new to me and in an ideal world I would like it vacant.
-BFG- said:
Everyone’s assuming they’re decent tenants…
I am waiting for this information from the solicitor.
The comment of not having to work is unjust, the finances for purchasing the BTL don’t just magic themselves up or come from the bank to mum and dad. Landlords still have risks and responsibilities with letting a property/properties.
They still have mortgages to pay, gas/electrical certs, insurance and then the repair bills when they are needed.
Everyone’s quick to defend the tenant in every situation and state the landlords a greedy banker.
I’ve not said I am evicting them, I’ve said buying a tenanted property is new to me and in an ideal world I would like it vacant.
Yet your opening post states "how do I get them out?"I am waiting for this information from the solicitor.
The comment of not having to work is unjust, the finances for purchasing the BTL don’t just magic themselves up or come from the bank to mum and dad. Landlords still have risks and responsibilities with letting a property/properties.
They still have mortgages to pay, gas/electrical certs, insurance and then the repair bills when they are needed.
Everyone’s quick to defend the tenant in every situation and state the landlords a greedy banker.
I’ve not said I am evicting them, I’ve said buying a tenanted property is new to me and in an ideal world I would like it vacant.
I have defended you as a landlord, it's not free money being a landlord. However, you are coming across as the end of a bell in your attitude towards these tenants. They've been there three years, it's unlikely they are trouble, they would be out by now if they were. These people are not a commodity you can ditch on the street and easily replace. This is their home. These are fellow humans.
Ignoring the rights and wrongs, it’s quite simple The default is that the existing AST will automatically switch to you. You will need the seller to transfer the deposit (hopefully on DPS) to you as part of sale. A Section 21 must now give at least 4 months notice. You could ask the sellers to serve the S21 so the clock is ticking, then engage with the tenants yourself to discuss a new AST at new rent to come into effect on purchase date (or more likely, whenever the 4 months is up) is so they have continuity . Also hope the seller properly lodged the deposit with DPS, and provided other mandatory docs, EPC etc, or they can’t serve a S21 (another reason to move to a new AST, so you know it’s all correct...)
I have multiple BTLs - if it was me I think I’d ask the seller to serve the S21 and in meantime engage with the tenants myself to seek to switch to a new AST on termination of existing (which will be a few months after purchase I guess), and use this time to determine if there was an agreeable middle ground on improvements/rent etc. If not then serve a new S21 - or more likely (but depending on yield) I'd probably just leave them in situ at £120 and spend my time and energy on next project....
I have multiple BTLs - if it was me I think I’d ask the seller to serve the S21 and in meantime engage with the tenants myself to seek to switch to a new AST on termination of existing (which will be a few months after purchase I guess), and use this time to determine if there was an agreeable middle ground on improvements/rent etc. If not then serve a new S21 - or more likely (but depending on yield) I'd probably just leave them in situ at £120 and spend my time and energy on next project....
Thanks for the input all.
Appreciate the comments.
I’ll be sitting down with the tenants tonight hopefully and will do the most logical thing first - have a chat with them.
The reason for the post was to determine what to do as purchasing a tenanted property is new to me, as I said ideally I’d like it vacant but with the market as it is and lack of properties and money in the bank not doing much this may not be an option.
Hopefully if others find themselves in a similar situation this thread will be of some use.
Irregardless of how I proceed (if I’m fact I do) the current tenants will be treated with the dignity and respect that any other person would be. Not just turfed out and left to fend for themselves.
Appreciate the comments.
I’ll be sitting down with the tenants tonight hopefully and will do the most logical thing first - have a chat with them.
The reason for the post was to determine what to do as purchasing a tenanted property is new to me, as I said ideally I’d like it vacant but with the market as it is and lack of properties and money in the bank not doing much this may not be an option.
Hopefully if others find themselves in a similar situation this thread will be of some use.
Irregardless of how I proceed (if I’m fact I do) the current tenants will be treated with the dignity and respect that any other person would be. Not just turfed out and left to fend for themselves.
And the update ….
The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
To compliantly remove the tenants as expediently as possible I can highly recommend the services of Mike Stratton.
https://tenantserve.co.uk/
For future letting - if you can live in the house (on paper even), issuing future tenants LODGER AGREEMENTS and definitely not ASTs will help immensely if (or when) they become more hassle than they are worth.
https://tenantserve.co.uk/
For future letting - if you can live in the house (on paper even), issuing future tenants LODGER AGREEMENTS and definitely not ASTs will help immensely if (or when) they become more hassle than they are worth.
-BFG- said:
And the update ….
The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
Good result.The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
My tenants have been with me for nearly 20 years now and it makes life very simple. Long term tenants are a really good thing to have as a landlord.
Rent is usually a bit less than it could be but no voids, no regular redecorating, they have a vested interest in not upsetting the neighbors...
GordonGekko said:
To compliantly remove the tenants as expediently as possible I can highly recommend the services of Mike Stratton.
https://tenantserve.co.uk/
For future letting - if you can live in the house (on paper even), issuing future tenants LODGER AGREEMENTS and definitely not ASTs will help immensely if (or when) they become more hassle than they are worth.
I would be very careful living in the house on paper even. You either live in the house or not. Living in there on paper could have all manner of repercussions on credit reports, council tax, etc. If the courts discover you are not living there are the lodger agreements are not valid you will open yourself up to a whole world of pain.https://tenantserve.co.uk/
For future letting - if you can live in the house (on paper even), issuing future tenants LODGER AGREEMENTS and definitely not ASTs will help immensely if (or when) they become more hassle than they are worth.
dmahon said:
It’s not very business like to boot out a good sitting tenant so you can do £thousands of work then risk new tenants for an extra £50 a month. Feel free to put this advice down to the “joys of a public forum” though!
As a Landlord myself, I'd like to add, that this house is someone's home. So it might be the landlords investment But it's also more than that. I've always said to my tenants, that I'm not going to evict them if they continue to pay the rent and they continue to let me know of any maintenance issues.
As far as putting up the rent, I've a 2 year rule. Inflation minus 25%
-BFG- said:
And the update ….
The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
Excellent mate. Well done! The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
-BFG- said:
And the update ….
The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
Good work. Delighted at this result and nice to see, after your initial slightly dubious opening post. The house is dire, poor woman and her child have lived in it for four years. She’s willing to decorate her bedroom but the landlord said he was selling it so the house has stayed as it.
No wallpaper.
No carpets except the hall and stairs.
I wasn’t surprised when she said it was a large landlord in the area who owned it.
She is paying more rent than is advertised (which I pulled the agent up on).
Had a chat with her.
She can pay £30 more to bring her in line with the street.
I’m carpeting and decorating it to my standards - she’s offers to pay and do it herself.
She’s staying.
At the end of the day, you will have a tenant who will look after her home and has a vested interest in so doing. It is a win win for all concerned.
To the poster who suggested “playing the system” with Lodger Agreements, you obviously see tenants as commodities. People like you give landlords a bad name. Thankfully, we are not all like you. You will come unstuck with that little ruse though and posting the suggestion on a public forum where you have no idea who reads them is stupid.
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