docus Posted July 27, 2008 Share Posted July 27, 2008 I've found a house for sale which is occupied under a regulated tenancy. The tenant is in his 80s and (I am told) will not pass on the tenancy to anyone. The house is close to 50% cheaper than similar houses in the same area and would suit me and my partner very well. We live in a narrowboat at the moment and are content to stay there for a few years if necessary... Obviously we would have to wait for the current tenant to 'expire' before we could move in... And he might rock on till he gets a telegram from old Queenie... It all sounds a bit macabre, waiting for some old geezer to pass away... But it's a lovely house at a good (e.g. affordable for us) price. I was wondering if anyone has any advice to give about this? What are the potential problems we should be thinking about? An opportunity to be seized or wouldn't touch it with a barge-pole? Walk in the park or legal minefield? Quote Link to comment Share on other sites More sharing options...
Caribbean Beauty Posted July 27, 2008 Share Posted July 27, 2008 I've found a house for sale which is occupied under a regulated tenancy. The tenant is in his 80s and (I am told) will not pass on the tenancy to anyone. The house is close to 50% cheaper than similar houses in the same area and would suit me and my partner very well. We live in a narrowboat at the moment and are content to stay there for a few years if necessary... Obviously we would have to wait for the current tenant to 'expire' before we could move in... And he might rock on till he gets a telegram from old Queenie... It all sounds a bit macabre, waiting for some old geezer to pass away... But it's a lovely house at a good (e.g. affordable for us) price. I was wondering if anyone has any advice to give about this? What are the potential problems we should be thinking about? An opportunity to be seized or wouldn't touch it with a barge-pole? Walk in the park or legal minefield? Hi Docus Seems a clear enough choice to me: 1. Buy it for 50% of similar homes' current value and wait anywhere between 1-30 years for the old geezer to pop off, all the time losing much more in lost interest on your savings/mortgage payments (and you may struggle to get financing) than you earn in some peppercorn rent, all the time having to spend money on living elsewhere yourself; or 2. Buy it and have him iced (not recommended, UK Police have one of the world's highest murder clear up rates and it is immoral; or 3. Wait 2 years then buy the empty neighbouring reposessed homes at auction for 50% of current values, minus the old boy and probably much more modern internally Quote Link to comment Share on other sites More sharing options...
_w_ Posted July 27, 2008 Share Posted July 27, 2008 Hi DocusSeems a clear enough choice to me: 1. Buy it for 50% of similar homes' current value and wait anywhere between 1-30 years for the old geezer to pop off, all the time losing much more in lost interest on your savings/mortgage payments (and you may struggle to get financing) than you earn in some peppercorn rent, all the time having to spend money on living elsewhere yourself; or 2. Buy it and have him iced (not recommended, UK Police have one of the world's highest murder clear up rates and it is immoral; or 3. Wait 2 years then buy the empty neighbouring reposessed homes at auction for 50% of current values, minus the old boy and probably much more modern internally Couldn't be clearer. Quote Link to comment Share on other sites More sharing options...
TopTaff Posted July 27, 2008 Share Posted July 27, 2008 Hi DocusSeems a clear enough choice to me: 1. Buy it for 50% of similar homes' current value and wait anywhere between 1-30 years for the old geezer to pop off, all the time losing much more in lost interest on your savings/mortgage payments (and you may struggle to get financing) than you earn in some peppercorn rent, all the time having to spend money on living elsewhere yourself; or 2. Buy it and have him iced (not recommended, UK Police have one of the world's highest murder clear up rates and it is immoral; or 3. Wait 2 years then buy the empty neighbouring reposessed homes at auction for 50% of current values, minus the old boy and probably much more modern internally Can i phone a friend ? Quote Link to comment Share on other sites More sharing options...
Laura Posted July 27, 2008 Share Posted July 27, 2008 If he has been there from the days of the anti-Rackman act/law/legislation whatever the hell it was, then forget it even in a rising market. Another wonderful Labour effort that wiped out all private landlords with killer rent & tenancy fixes IIRC Quote Link to comment Share on other sites More sharing options...
swissy_fit Posted July 27, 2008 Share Posted July 27, 2008 I've found a house for sale which is occupied under a regulated tenancy. The tenant is in his 80s and (I am told) will not pass on the tenancy to anyone. The house is close to 50% cheaper than similar houses in the same area and would suit me and my partner very well. We live in a narrowboat at the moment and are content to stay there for a few years if necessary... Obviously we would have to wait for the current tenant to 'expire' before we could move in... And he might rock on till he gets a telegram from old Queenie... It all sounds a bit macabre, waiting for some old geezer to pass away... But it's a lovely house at a good (e.g. affordable for us) price. I was wondering if anyone has any advice to give about this? What are the potential problems we should be thinking about? An opportunity to be seized or wouldn't touch it with a barge-pole? Walk in the park or legal minefield? This is a numbers game with chance thrown in. The numbers may be OK, the chance part looks shaky. I wouldn't touch it. These are just a few considerations : 1. You should be able to find out if the tenants family is long-lived with a bit of genealogical research. Estimate his life expectancy. 2. when you say 50% cheaper than similar houses, are you talking asking prices or very recent sold prices? 50% cheaper than any sales achieved in June/July 2008 is probably a good price. 3. If I were him, I'd wait until you'd bought it, then demand more money in exchange for a contract to never pass the tenancy on, with a copy put in the hands of the police if I were to die mysteriously. Your a*s would be over a barrel, and you could hardly complain as you're trying in effect to make money from him dying more quickly. However not many old guys could be bothered with this so it's unlikely. 4. It'd probably need gutting after he dies - lots of money unless you're a DIY genius. 5. You'd be better off befriending the poor old chap, helping him out a bit, shopping and gardening etc, and getting him to pass the tenancy on to you! If it didn't work out you'd at least have done something nice with your time. I've a feeling regulated tenancies can only be passed on to family, so as long as you're not talking about parts of Liverpool, where I've heard people change their names in order to keep tenancies then maybe 3 and 5 couldn't happen. Quote Link to comment Share on other sites More sharing options...
Elizabeth Posted July 27, 2008 Share Posted July 27, 2008 If he has been there from the days of the anti-Rackman act/law/legislation whatever the hell it was, then forget it even in a rising market.Another wonderful Labour effort that wiped out all private landlords with killer rent & tenancy fixes IIRC And the problem is???? I have had some truly awful landlords - I would be happy to see a strong social housing sector and fewer landlords, some of them killed with pesticide rather than constrictive legislation. Quote Link to comment Share on other sites More sharing options...
antwacky Posted July 27, 2008 Share Posted July 27, 2008 I've found a house for sale which is occupied under a regulated tenancy. The tenant is in his 80s and (I am told) will not pass on the tenancy to anyone. The house is close to 50% cheaper than similar houses in the same area and would suit me and my partner very well. We live in a narrowboat at the moment and are content to stay there for a few years if necessary... Obviously we would have to wait for the current tenant to 'expire' before we could move in... And he might rock on till he gets a telegram from old Queenie... It all sounds a bit macabre, waiting for some old geezer to pass away... But it's a lovely house at a good (e.g. affordable for us) price. I was wondering if anyone has any advice to give about this? What are the potential problems we should be thinking about? An opportunity to be seized or wouldn't touch it with a barge-pole? Walk in the park or legal minefield? Apparently, if you apply to the court for possession to live in it yourself, you should be able to have him evicted... Quote Link to comment Share on other sites More sharing options...
Quagmire Posted July 27, 2008 Share Posted July 27, 2008 I've found a house for sale which is occupied under a regulated tenancy. The tenant is in his 80s and (I am told) will not pass on the tenancy to anyone. The house is close to 50% cheaper than similar houses in the same area and would suit me and my partner very well. We live in a narrowboat at the moment and are content to stay there for a few years if necessary... Obviously we would have to wait for the current tenant to 'expire' before we could move in... And he might rock on till he gets a telegram from old Queenie... It all sounds a bit macabre, waiting for some old geezer to pass away... But it's a lovely house at a good (e.g. affordable for us) price. I was wondering if anyone has any advice to give about this? What are the potential problems we should be thinking about? An opportunity to be seized or wouldn't touch it with a barge-pole? Walk in the park or legal minefield? Why would you want this sort of crap in your life just to bag a "bargain"? Rent a decent place for less, buy when prices have fallen enough. Quote Link to comment Share on other sites More sharing options...
Guest tbatst2000 Posted July 27, 2008 Share Posted July 27, 2008 Apparently, if you apply to the court for possession to live in it yourself, you should be able to have him evicted... Most likely not: http://www.communities.gov.uk/documents/ho.../pdf/138295.pdf Case 9: the landlord needs the property for himself or herself or certain members of his or her family to live in and that greater hardship would not be caused by granting the order than by refusing to grant it – but this does not normally apply if the tenant was a sitting tenant when the landlord bought the property. Quote Link to comment Share on other sites More sharing options...
Guest tbatst2000 Posted July 27, 2008 Share Posted July 27, 2008 I've found a house for sale which is occupied under a regulated tenancy. The tenant is in his 80s and (I am told) will not pass on the tenancy to anyone. The house is close to 50% cheaper than similar houses in the same area and would suit me and my partner very well. We live in a narrowboat at the moment and are content to stay there for a few years if necessary... Obviously we would have to wait for the current tenant to 'expire' before we could move in... And he might rock on till he gets a telegram from old Queenie... It all sounds a bit macabre, waiting for some old geezer to pass away... But it's a lovely house at a good (e.g. affordable for us) price. I was wondering if anyone has any advice to give about this? What are the potential problems we should be thinking about? An opportunity to be seized or wouldn't touch it with a barge-pole? Walk in the park or legal minefield? Unless you're absolutely certain he has no relatives that could move in with him (and therefore take over the lease) and that he's terminally ill, forget about it I'd say. He'll be paying a tiny rent - which will be at most half the market rate given the 50% price differential - and you're running the risk of subsidizing him for an unknown period of time. These sorts of houses might make sense as very long term investments (speculations really given the possibility of a relative turning up from nowhere, moving in and demanding to take over the lease) but not as somewhere you want to live. Quote Link to comment Share on other sites More sharing options...
Rain'ard Posted July 27, 2008 Share Posted July 27, 2008 If he has been there from the days of the anti-Rackman act/law/legislation whatever the hell it was, then forget it even in a rising market.Another wonderful Labour effort that wiped out all private landlords with killer rent & tenancy fixes IIRC Yes this is a real pity. He could have gone round and beat him up or overcrowded the place with illegals Quote Link to comment Share on other sites More sharing options...
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