Updating post from Reddit.
Had a family friend renting my property for 12 years, sadly she passed away May 24 leaving behind her live in partner (partner was not named on tenancy agreement). Her family (also friends) begged me to let him stay in the house, I explained I want to put the house on the market but will agree to a 6 month term. The term ended in November 24 but told him he could stay on until he found somewhere. I even went as far as helping him find somewhere but he just didn’t seem interested, I served a section 21 in January 25 which expires tomorrow, we’ve been communicating, I’ve agreed a cash for keys sum, organised and paid for a van, paid for storage of larger items for him, everything was booked in for tomorrow. He now says he’s not going anywhere and I’ll have to go through the courts. House sale was set to complete on 7th April. What makes me more angry is the people who advised him to do this was the council???? Is this just so that he doesn’t become their problem???? I now feel he was planning this all along. I’m no big shot property owner, just someone who rented a house to a friend. How long and expensive is the process from here?
Sadly risk of having property as an asset, do you have an insurance that covers the legal costs?
Investments can go down as well as up
Yeah its the council - they won't help at all unless he's evicted. The cash for keys sum needs to be substantial enough to cover the difference between his current rent and the alternative place for long enough for him to become the councils problem again - I think its normally nine months but this may vary.
Or... that might be for newly moving to an area - if it's in the same council zone enough to cover the gap for the fixed period of a tenancy could be enough.
If he can't afford your rent you can pursue a section 8 eviction which can be faster, but it can immediately be forestall if he pays the rent, which he might do by various means, eg the council might give him the money.
I assume you have not exchanged contracts for the sale? If so, you potentially have a big problem.
Yes contracts exchanged, didn’t think for a second he would do this, he was giving every indication he was leaving tomorrow.
In fairness he probably didn’t know the council wouldn’t be able to help until the day bailiffs arrive. I’m in this position right now and do feel bad for my landlord but literally have nowhere else to go. Definitely wouldn’t be staying in this situation by choice.
I did feel for him, hence why I tried to help so much, he’s known since the day he signed the agreement in May 24 that the house was going on the market and he’s done nothing to help himself. That’s nearly 12 months of home hunting wasted.
Hopefully you gave him the money for him to leave already? (Not a typo, I really mean it this way).
Why would I give the money before he left?
It might have established an enforceable contract to leave if you had.
You should consult with your solicitor immediately as to what the failure to complete on the exchanged contract of sale penalties could be and rationally consider your options.
Explore whether any process insurance you might have - some solicitors or estate agents provide it as standard - cover this.
Explore whether you do have an enforceable (verbal?) contract with the tenant to depart (this is a tricky legal area).
Best of luck!
Thank you
No, money would have been swapped for keys
Are you selling to a cash buyer?
No
I’m surprised then that their solicitor allowed them to exchange, as with a normal (non buy to let) mortgage, their bank will insist on vacant possession.
It’s a company (charity) that is buying it, don’t know if that makes any difference.
It would. They likey have a commercial mortgage that allows renting.
Luckily, this now becomes their problem! You've exchanged contracts, so they become an unintentional landlord of your tenant after completion.
Lessons learnt. Don't do favours. No good deed and all that jazz
Yes, feeling that now!
Sorry it happened. Unfortunately the councils are breeding this mentality so when you give an inch they get the bus to the next town over.
This country is broken
When it comes to renting. Never rent to friends or family or think you are helping someone out. It never works out.
It worked perfectly for 12 years. Should have gone with my instinct and never let him stay, realising being nice gets you screwed.
It's a good rule of thumb but not entirely true that it never works out. It's high risk and much more complicated than it needs to be... but if you can get it right then it's a blessing both ways.
Sounds like he wanted a council home but they are usually short so always advise to stay until evicted. Sucks but at least you don't need to pay them for cash for keys now just annoying that the process is dragging.
Edit: I just read that again and realised they were not your tenant but the partner of your tenant. If they were not married you might have issued the wrong eviction. Surely you need to look into evicting a no succession tenant?
He was my tenant, I drew a 6 month agreement for him after his partner died.
Ah this could potentially be a big mistake now, I'm not sure what happens if you start the process then rent reform kicks in. Hopefully anyone who has started the process will be able to continue.
The tenancy agreement ended in November 24, I let him stay on as a favour to him.
The tenancy agreement didn't end on 24 November. Just the fixed term part of it. It ends when the tenant leaves or the court orders possession.
If the council told him, it could be that he is on the wait list for a council house and needs to be made homeless to be given priority, rather than be voluntary homeless etc.
You should have never renter out to this person.
You were better off keeping the property empty for 6 months.
This person didn't have any gurantor?
Did he even have a job?
No he doesn’t work, he’d just lost his partner who was my friend, I couldn’t just turf him out on the streets. I’ve had zero issues with him as a tenant until now, rent paid, house looked after. I’ve certainly learned my lesson.
Yeah like others have said, you should have never rented to this person.
I am currently renting to someone on PPE but I've got a gurantor agreement in place so I don't lose out on rent
I was in the same situation as your tenant. I had had financial problems in the past, so my company rented a place on my behalf, was there for 3 years covid hit and the company struggled we survived for another 3 years but eventually went bankrupt.
The landlord refused to transfer the tenancy to my name so we could not claim housing benefit, therefore we could not pay the rent (would have been difficult anyway as the landlord put it up from £1000pcm to £1400pcm.
We went to the council and told them what was happening (they were very confused as it was a company let with a company that no longer exists) but told us in no uncertain terms that we were not to move out until we had a court order and if we did they would not help us any further.
5 months later we were in court just before Christmas. Strictly speaking we had no right to speak as we were not named but the magistrate allowed us to do so, we explained our side as above.
The verdict was that he had no choice but to give possession back to the landlord, but at the same time it was a no fault eviction and bailiffs could not be instructed until the 2nd week in January and if they were instructed before that he would call the landlord back to his court.
The council at this point gave us temporary accommodation and 6 weeks later we got an adapted housing association property.
I also need to mention here that I am in my mid 50s my wife is disabled and we have a 13 year old daughter. So points wise we were high for a council/housing association property but until you are defined as homeless really you have no chance
Not quite the same situation as I gave him a 6 month tenancy agreement in his name, the day he signed it he knew it was going on the market. I feel for him I really do but he’s completely strung me along. I’ve personally tried to help him but he has not been interested, I’ve found suitable and affordable accommodation, made viewing appointments that he never turned up to. He’s allowed me to pay for storage and removal costs whilst all the time planning to do this. It’s impossible to help someone who doesn’t want to help themselves.
Like I said I’m no big company or professional landlord. I’m sorry this happened to you but glad you got sorted in the end.
I understand the difference, and it seems as a landlord you have been amazing, but the point is about the councils reaction. That being said as a single male, he may or may not get temporary accommodation, and is unlikely to progress from there.
If you have managed to find him a 1 bed / studio property that accepts housing benefit and is within the cost of housing benefit then he is a fool to not accept
Found an interesting document
Means nothing, it's basically advice only. Councils will just say S21 is invalid and only the courts can rule on this.
Take him to court otherwise he’ll be there forever. Look into suing him for the losses that you will be sued for if you fail to complete with vacant possession. Also increase the rent to the maximum possible. If he doesn’t pay it he will be intentionally homeless and the council will not assist and nor will any other landlord. Explain the implications of his actions to him and he may see sense.
I will be going through the courts asap. No point suing as he’s on benefits. Buyer knew house wasn’t vacant, can I still be sued??
Did they exchange on the basis of vacant possession?
No they knew he was still in the property.
There’s a difference between knowing someone is in the property and agreeing the terms of the sale as “vacant possession” - one is your problem and will affect the sale. The other is their issue so it very much depends on the wording of the contracts exchanged.
Thank you
I suspect the issue for tenant is that if they leave, ending their tenancy on their own account, they are treated as being intentionally homeless.
If the council decide that your tenant has become intentionally homeless then they're obligation is to assist with short-term need (giving your tenant the chance to find somewhere for themselves).
If your tenant is physically evicted by the bailiffs on a no-fault eviction then the council have a duty to provide long-term relief (social housing).
It sucks from both sides, but that's the UK housing market...
To.bw fair you had a continuous rental for 12 years and they would have paid for half of the equity of the house and some profit in the mean time. So I think you had it quite good?
They want to get evicted so council can house them. You just have to play the game I'm afraid. Surely you have a contingency fund set aside from 12 years of tenancy to pay for legal costs.
Everyone is out for their best interests. They probably got legal advice on what they need to do and getting themselves into a council house probably is the best recourse. Especially in today's climate where private rents are sorting.
The catch for them is that they need to keep upmwith rent and not have arrears. If they arrears the council won't house them. I presume thry are paying rent?
If this has messed up your sale. Then you only have yourself to blame because you should have got the property vacant from the time it was put on the market. You wanted perfect timing. To get rent up to the momth before it sold and then sell to a buyer. But things rarely go through this smooth
I messaged you this I believe but will also post it.
Councils behave very poorly and contrary to advice in this matter:
This article may be relevant for you: https://www.nrla.org.uk/news/your-local-authority-tenants-bailiff
In some situations councils have been ordered to pay compensation to landlords https://www.lgo.org.uk/decisions/housing/private-housing/20-002-688#point1https://www.lgo.org.uk/decisions/housing/private-housing/20-002-688
The council will not house them unless they're evicted. If they willingly leave they have to find private rent - assuming they aren't in a financial position to do so then they're kind of stuck too.
It's a shit system that shafts everyone.
This person is not a friend, they are a parasite pretending to be a friend.
As you have pointed out, they didn’t even turn up to house viewings, and left everything to the very last moment knowing that you have paid for for their storage and removals.
You should respond with all punitive powers available to you, if they end up with a CCJ, it will help as a warning to others not to fall for this person’s shenanigans.
If he refuses to leave after a s.21, you have to go to court. However, he has agreed to leave and this changes things - thankfully for you. As you previously agreed on an end date of the tenancy, you can claim possession of your house on the agreed day. His right to stay has been forfeited already.
Seek legal council on the right way to do it, but don't worry.
Really? Thank you, I’ll take my proof to a solicitor.