House for sale with tenants

D3V!L

I'm going to view a house for sale soon that has tenants. I just want the house and not to inherit the tenants. Can the current owner give them notice to move prior to the property changing hands ?

hawkelady

D3V!L wrote: »

I'm going to view a house for sale soon that has tenants. I just want the house and not to inherit the tenants. Can the current owner give them notice to move prior to the property changing hands ?

Are you prepared to pay cash cause you won’t get s mortgage with tenants in it..
ask the agent what’s the story but my advice is do not buy it if it still has people living in it. Recipe for disaster

D3V!L

hawkelady wrote: »

Are you prepared to pay cash cause you won’t get s mortgage with tenants in it..
ask the agent what’s the story but my advice is do not buy it if it still has people living in it. Recipe for disaster

Surely the landlord can give notice for the tenants to leave ?

theteal

D3V!L wrote: »

Surely the landlord can give notice for the tenants to leave ?

He/she can. Whether they oblige is a different matter entirely

omb0wyn5ehpij9

D3V!L wrote: »

I'm going to view a house for sale soon that has tenants. I just want the house and not to inherit the tenants. Can the current owner give them notice to move prior to the property changing hands ?

What have you been told about tenants? There is a good chance that they will be given notice when the house goes sale agreed. There is no point in the owner giving notice now, as the house may not sell for months and months, and then the owner isn't getting any rent in the meantime

D3V!L

BDJW wrote: »

What have you been told about tenants? There is a good chance that they will be given notice when the house goes sale agreed. There is no point in the owner giving notice now, as the house may not sell for months and months, and then the owner isn't getting any rent in the meantime

I've been told nothing about them yet. I'm presuming your point would be the case alright therefore delaying the sale. I'm not in a hurry either way.

Browney7

Isn't there a CGT relief now available for investors (up to 20%) who purchase a property with a sitting tenant - maybe LL won't be giving tenants notice at all?

Cash_Q

You need your solicitor to make sure that their solicitor instructs them to issue notice to vacate asap and when issuing this notice, they must issue a Statutory Declaration that the house is being sold, this is a legal requirement to prevent a landlord from pretending they're selling up and actually replacing tenants and hiking the rent.

They're entitled to 4 weeks notice for every year they've lived there if I recall correctly, so let's say they're there 8 years, they're entitled to 32 weeks. I could be wrong there but I think this is correct.

For any landlord to wait until a house goes sale agreed before issuing notice will probably mean that there are significant issues with finding a buyer, because they'd be reluctant to wait out the whole notice period of the tenants. We went sale agreed on a house that had tenants with 4 months remaining in their notice, so this meant that by the time contracts were exchanged etc we only had a few weeks left to wait for them to vacate. Granted there was an issue when they challenged their notice as their landlord had failed to issue the statutory declaration, but luckily for us the tenants got somewhere else and we were in in the expected timeframe.

Cuddlesworth

Browney7 wrote: »

Isn't there a CGT relief now available for investors (up to 20%) who purchase a property with a sitting tenant - maybe LL won't be giving tenants notice at all?

Can you buy a property with a sitting tenant, then evict and then later claim the CGT relief?

Claw Hammer

Browney7 wrote: »

Isn't there a CGT relief now available for investors (up to 20%) who purchase a property with a sitting tenant - maybe LL won't be giving tenants notice at all?

When did this start?

Del2005

Browney7 wrote: »

Isn't there a CGT relief now available for investors (up to 20%) who purchase a property with a sitting tenant - maybe LL won't be giving tenants notice at all?

You'd want to know the rent they are paying before making an offer, if below market rate you are stuck with it if in an RPZ.

Browney7

Claw Hammer wrote: »

When did this start?

Thought I saw an announcement in the budget reporting - turned out it was more like kite flying in advance though https://m.independent.ie/business/irish/a-steady-budget-but-the-devil-could-be-in-the-detail-of-upcoming-finance-bill-37416967.html

ouxbbkqtswdfaw

Cuddlesworth wrote:

Can you buy a property with a sitting tenant, then evict and then later claim the CGT relief?

Good luck with that. Do you know how long it takes to evict a tenant? Only way to go is vacant possession.

Browney7

Cuddlesworth wrote: »

Can you buy a property with a sitting tenant, then evict and then later claim the CGT relief?

It was a change that had been mooted in advance (not actually announced) but I'd expect the tenants would have had to be kept for a number of years.

STB.

D3V!L wrote: »

I'm going to view a house for sale soon that has tenants. I just want the house and not to inherit the tenants. Can the current owner give them notice to move prior to the property changing hands ?

The current landlord can end the current tenancy if they are entering in to an intention to sell within 3 months and they must provide the tenant with a signed statutory declaration to this effect.

Has the vendor done this ?

Find out. You need it with vacant possession.

https://www.threshold.ie/advice/ending-a-tenancy/how-your-landlord-may-end-your-tenancy/

D3V!L

STB. wrote: »

The current landlord can end the current tenancy if they are entering in to an intention to sell within 3 months and they must provide the tenant with a signed statutory declaration to this effect.

Has the vendor done this ?

Find out. You need it with vacant possession.

https://www.threshold.ie/advice/ending-a-tenancy/how-your-landlord-may-end-your-tenancy/

Perfect, thanks for that

GGTrek

D3V!L wrote: »

STB. wrote: »

The current landlord can end the current tenancy if they are entering in to an  intention to sell within 3 months and they must provide the tenant with a  signed statutory declaration to this effect.

Has the vendor done this ?

Find out.  You need it with vacant possession.

https://www.threshold.ie/advice/ending-a-tenancy/how-your-landlord-may-end-your-tenancy/

Perfect, thanks for that

It is very unlikely that current owner will serve termination notice for intention for sale before the house has gone sale agreed and the OP has paid a small holding deposit to the estate agent or to the seller solicitor. OP should request as a matter of urgency how long the tenants have been residing in the house to know the minimum notice period (it might be absurdly high (196 days!), which makes the house unsellable as a PPR, from experience if the tenants have stayed anything above 4 years I would strongly suggest the OP not to purchase unless the price is well below market. Also if the OP decides to purchase, he should put a condition in the offer: subject to tenants vacating within X months. This will make the tenant's issue a problem for the seller and not the OP.
A final warning for the OP from my experience, the longer the tenants have stayed, the more they will feel entitled at staying and overholding. The OP should check all the tenant's references (especially the employment reference, to see if the tenants have something to loose if they overhold, if they are social welfare tenants again my suggestion is better avoiding the purchase) and the first tenancy agreement that was signed (the following ones don't count much).

Arklow10

100% vacant possession regardless of how you feel about the tenants, property, price,any morals etc.