Paying a Year's Rent Upfront ?
Discussion
Currently looking at flats in London and have seen a place advertised with an agent stating that the owner requires full 12 month payment up-front, in exchange it appears that the price is much lower (~30%) than similar properties in the area.
This seems too good to be true but I figure that the owner is desperately trying to free up some cash to avoid repossession of other properties and is prepared to take a hit on this one (just a hunch).
Does this all seem too good to be true ?
I assume if I'm using a reputable agent and have a decent contract drawn-up then the risk is pretty low ?
Or is it likely that any repairs required during this 12 month period will not be made until I draft a solicitors letter threatening breach of contract ?
Opinions welcome, thanks in advance.
Chris
This seems too good to be true but I figure that the owner is desperately trying to free up some cash to avoid repossession of other properties and is prepared to take a hit on this one (just a hunch).
Does this all seem too good to be true ?
I assume if I'm using a reputable agent and have a decent contract drawn-up then the risk is pretty low ?
Or is it likely that any repairs required during this 12 month period will not be made until I draft a solicitors letter threatening breach of contract ?
Opinions welcome, thanks in advance.
Chris
Only risk I'd have thought is that reputable agent or not, if the Landlord's Bank repossess the flat, you stand to lose the balance of whatever's left of the year's rent as well as losing your flat, rather than just the balance of a month's rent...
Although I seem to remember someone on here saying that there was a change in the law going through to protect tenants in these situations, but can't remember any more than that, sorry...
Although I seem to remember someone on here saying that there was a change in the law going through to protect tenants in these situations, but can't remember any more than that, sorry...
repairs should be carried out regardless of your payment options - as defined in your contract.
some tenants offer money up front as it may put them in favour of others who can only pay monthly.
just ensure you have an AST to match the period of payment.
if it bothers you, negotiate for payment of rent for a 6month period only.
some tenants offer money up front as it may put them in favour of others who can only pay monthly.
just ensure you have an AST to match the period of payment.
if it bothers you, negotiate for payment of rent for a 6month period only.
Fatboy said:
Only risk I'd have thought is that reputable agent or not, if the Landlord's Bank repossess the flat, you stand to lose the balance of whatever's left of the year's rent as well as losing your flat, rather than just the balance of a month's rent...
Although I seem to remember someone on here saying that there was a change in the law going through to protect tenants in these situations, but can't remember any more than that, sorry...
That would give the OP up to 2 months protection from eviction if the bank obtained a possession order, but wouldn't facilitate the refund of any rent paid to the landlord after those 2 months.Although I seem to remember someone on here saying that there was a change in the law going through to protect tenants in these situations, but can't remember any more than that, sorry...
Its not unusual for a years rent to be paid in exchange for a lower rate but not so usual for it to be openly advertised. Seems a little desperate and that always rings bells, espaecially in current climate.
Very important to see sight of the mortgagees consent to let which a good agent should provide anyway. I would also ask to see confirmation from the mortgagee that there are no arrears.
Very important to see sight of the mortgagees consent to let which a good agent should provide anyway. I would also ask to see confirmation from the mortgagee that there are no arrears.
bigandclever said:
Muncher said:
Soovy said:
How interested do you think the landlord will be in you once they've got all the money?
Don't be STUPID.
Didn't you mention before that you got a great deal on your flat by paying upfront?Don't be STUPID.
OP here.
Thanks for the comments, I have not pursued the flat (for a whole host of other reasons) but it's interesting to note that I was completely unaware of the implications of a landlord falling into arrears resulting in a repossession.
I'm wondering if this is something an agent would mention to a prospective tenant ?
Thanks for the comments, I have not pursued the flat (for a whole host of other reasons) but it's interesting to note that I was completely unaware of the implications of a landlord falling into arrears resulting in a repossession.
I'm wondering if this is something an agent would mention to a prospective tenant ?
okgo said:
bigandclever said:
Muncher said:
Soovy said:
How interested do you think the landlord will be in you once they've got all the money?
Don't be STUPID.
Didn't you mention before that you got a great deal on your flat by paying upfront?Don't be STUPID.
I remember that.I did, but I went into it with my eyes WIDE open - and I know the owner and have done for 20 years.
I wouldn't advise it unless you get, say, 50% off, and you know the owner.
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