Insolvency tenant looking to buy

alibabastephen

Hi,

Just looking for some advice. I currently rent a house with my wife for the last 2 years. Our landlord has told us we have 2 months to leave as the house is being handed back to a 3rd party insolvency company (I don't know anything about insolvency). He said a valuer will be coming to value the property in 2 weeks.

We recently came into money and are thinking of buying the house with cash. I spoke to the landlord to ask him about buying it and he said as far as he knows, we have to be gone from the house in 2 months and if we want to buy, we have to wait until it comes for sale in the market. He said he will mention it to the company he is dealing with (he is not dealing with the bank at all he said)

I have the name of the insolvency company, but I don't want to contact them until things are a little clearer for the landlord as I don't want to complicate things for him so thought I would look for some advice here. I know its just advice.

So I suppose my question is has anyone gone through a similar situation? What usually happens? Is it possible to buy the house without it going on the market? If we could buy it, would it be market value or a little less (I read stories about people getting houses just below market value as banks want to get rid of them but I don't know if that applies here as the landlord is not dealing with the bank, but an insolvency company)

I was asking him, do we get a letter from the bank to say to move out, and then move out, or do we just go in 2 months? He said as far as he knows we have to be gone in two months that is it. Obviously we will do as he asks as we don't want to complicate it. But it would be much handier to stay, if we could buy it.

I am trying to google it but not coming up with much info.

Sorry I have no idea how this works or even anything about insolvency so my post my sound a little stupid.

Thanks

Pat Mustard

I assume that when you say 'insolvency company' you mean the receiver's accountancy firm.

If you find out the name of the receiver, there is a chance that if you contact him, he may be willing to deal with you. It is also possible that he won't want to deal with you directly because he may want to market a number of properties together or he may want an estate agent to value/market the property/properties.

You shouldn't put anything in writing to these people and if it becomes necessary to do so, it's solicitor time.

alibabastephen

Hi,

Thank you for that. Yes it seems the "Insolvency company" does want an estate agent to market them I presume as they are sending an auctioneer around to value the property.

I wonder should I contact the auctioneer who will be valuing the property? I know the company's name. Or maybe they are just valuing it and not marketing it.

Its a bit of a mess. Do you think, the accountancy firm would get the bank to sent us a letter? (i.e with move out date) or would it be the bank? I know the landlord told us to start looking so he has given us notice. Just would be easier if we got notice from the accountancy firm or bank, as then we would know who exactly to contact regarding putting an offer on it.

Thanks very much for your help.

Del2005

alibabastephen wrote: »

Hi,

Thank you for that. Yes it seems the "Insolvency company" does want an estate agent to market them I presume as they are sending an auctioneer around to value the property.

I wonder should I contact the auctioneer who will be valuing the property? I know the company's name. Or maybe they are just valuing it and not marketing it.

Its a bit of a mess. Do you think, the accountancy firm would get the bank to sent us a letter? (i.e with move out date) or would it be the bank? I know the landlord told us to start looking so he has given us notice. Just would be easier if we got notice from the accountancy firm or bank, as then we would know who exactly to contact regarding putting an offer on it.

Thanks very much for your help.

Can a receiver kick people out of their rented home if they are still in lease? Also the LL saying you need to be out in 2 months isn't the legal way to end the tenancy, it needs to be a written letter giving you X days after receiving to move depending on how long you've been a tenant.

alibabastephen

Hi,

Would that letter need to be from the landlord or the bank? The landlord doesn't know exactly when he is giving the keys back as such, but said he was told to get us out before it can go through, so he gave us two months. He did say he didn't think we could stay if we did want to buy as the place needs to be empty for the "insolvency" company. Unfortunately I do not know much about this whole process at all.

Obviously I would like to stay on (be it renting and paying the bank, or buy it) but I also don't want to make things complicated for the landlord, so if he says the house needs to be empty, maybe it does for it all to go through. He said that if we wanted to buy, keep a look out for when it comes up for sale. Then he said he will speak to the receiver see what they say.

I just don't know who to speak to. i.e do I speak to the 3rd party company (the insolvency company he keeps mentioning) or do I speak to the bank he took the mortgages out with? He said he has no contact whatsoever with the banks, only this 3rd party company.

Boardnashea

I think the first thing to look for would be notice in writing from the landlord giving reason.

Del2005

alibabastephen wrote: »

Hi,

Would that letter need to be from the landlord or the bank? The landlord doesn't know exactly when he is giving the keys back as such, but said he was told to get us out before it can go through, so he gave us two months. He did say he didn't think we could stay if we did want to buy as the place needs to be empty for the "insolvency" company. Unfortunately I do not know much about this whole process at all.

Obviously I would like to stay on (be it renting and paying the bank, or buy it) but I also don't want to make things complicated for the landlord, so if he says the house needs to be empty, maybe it does for it all to go through. He said that if we wanted to buy, keep a look out for when it comes up for sale. Then he said he will speak to the receiver see what they say.

I just don't know who to speak to. i.e do I speak to the 3rd party company (the insolvency company he keeps mentioning) or do I speak to the bank he took the mortgages out with? He said he has no contact whatsoever with the banks, only this 3rd party company.

Have a look at the Accommodation and Property froum it'll give you more information on being evicted, including how much notice that the LL is required to give you to get.

I wouldn't advise contacting anyone until you get the eviction notice and I wouldn't be volunteering the need for written notice. The LL and the most certainly the receiver are adults so can find it for themselves instead of trying to illegally evict you, by giving a verbal 2 month notice.

Pat Mustard

alibabastephen wrote: »

I wonder should I contact the auctioneer who will be valuing the property? I know the company's name. Or maybe they are just valuing it and not marketing it.

If the auctioneer has been appointed by a receiver then he may be able to give you the receiver's details. As you know, if an auctioneer has been appointed to market the properties, the receiver may not wish to undermine him by allowing you to bypass him.

alibabastephen wrote: »

Its a bit of a mess. Do you think, the accountancy firm would get the bank to sent us a letter? (i.e with move out date) or would it be the bank? I know the landlord told us to start looking so he has given us notice. Just would be easier if we got notice from the accountancy firm or bank, as then we would know who exactly to contact regarding putting an offer on it.

If a receiver has been appointed, that receiver will be running the show here.

Mr. Incognito

Some purchasers will want vacant possession, others are happy to leave tenants in situ

If it goes to auction see if you can bid for it.

Contact the receiver company and ask who the agent is