Hi all,
We are hopefully going to complete next week on a flat where the seller will become the tenant. Open rent has suspended my ad because it wants proof I own the property, which I don’t yet. But I want a tenancy agreement in place for completion. Any ideas what I can do?
You can’t rent out a property you do not own
Yep I get that. But I need to generate the AST so that I have something in place for completion day. Is there no way around this?
Otherwise he is left in the property with no agreement in place.
Do you realise that “sale and rent back” is an FCA regulated activity and can give long term rights to the tenant.
Get a tenancy agreement from elsewhere IE ARLA
No I didn’t realise that… am looking into that now, thanks for bringing to my attention.
It is a short term agreement because seller was struggling to find a new rental just before Christmas and so we agreed he could stay short term until he finds somewhere.
A lot of people get caught out by that arrangement.
I’m with David122 here. They could stay, refuse to leave and you won’t have a leg to stand on. You need to look out for yourself at the end of the day as it’s your livelihood.
Also, if you are mortgaging the property I’d be very shocked if the lender allows this. They could pull the plug.
Sorry to dramatise, but I had the same situation and I refused. I felt bad, but it’s a risk I cannot take. She did still move out when agreed thankfully. Hope you get it sorted.
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