Tan0410

Hi all,

Having reached our 1 year anniversary in NZ we've been thinking about making some decisions regarding the house in the UK. This is currently being rented out...with new tenants about to sign the agreements (for 6mts fixed) as we speak.

Over the weekend we decided that we'd like to cut our losses and sell. Whilst I don't mind renting over here I would love to be able to paint my kids rooms and put a shelf or two up... just generally make it feel more like we actually live here. Mortgage not possible here as would need the UK equity for the deposit etc. On top of that, the whole rental thing back in the UK is a little stressful and costs us for the property management (making nothing from the actual rental itself).

Our problem is that we have a conscience and cannot bear the idea of letting tenants sign, then telling them shortly after that the house is going on the market

However, we cannot afford to leave the house sitting empty whilst we wait to sell either.

I'm pretty sure this is a no win situation but I was hoping others may have some thoughts. Any one have similar experience?

TeamEmbo

I can appreciate how you feel with regards to feeling like you're letting the new tenants down but realistically from what others are saying it could take a lot longer than 6 months to sell your house and you are going to need your tenants to be cooperative in letting people be shown round and keeping the place neat and tidy. So if it was me I would let the tennants know as soon as possible of your decision to sell, explain that you are having to put it on now because of the length of time to achieve a sale so your not expecting them to have their 6 months affected, other than to keep the place tidy if the agent needs to show someone round. I hope this makes sense. Am typing it having not fully woken up yet!

hazeandsteve

....and they could always be offered first refusal.

whitesand

You really have to be honest with the prospective tenants and tell them the truth. You cannot really keep the fact quiet. You are expecting them to sign up and keep their end of the bargain then not be sincere at your end.

It really is a case of not getting everything you want. You need to compromise on some things. Ask yourself how would you like to be treated. Would you like to rent a place in NZ and then have the same thing happen to you?

teebrown

I agree with the above, we missed out on the sell of our house because we waited for the tenancy to finish and when we actually told our tenant a month before the agreement was up, it turned our she put an offer on another house but would have loved to have bought ours - dam! we tried to sell it but couldn't so put it up for rent again. I would tell the tenants, but tell them in 3 months the house will be put up but they can stay in it then on after the 6 months if the place doesn't sell.

Good luck

Jan n Neil

Market is dead in the UK at the mo, we have one up for 70 grand less than it was valued at the height of the madness and it aint shifting. If they are covering the motgage and the rent over there aint killing u I would leave them in for another 6 months

Neil

Tan0410

Many thanks for your responses. I'm a little worried that I have been misinterpreted though.

Have no intention of deceiving anyone...just wanted to see if anyone had similar experinences. Know how I would feel which is why I'm having a hard time making the decision.

These tenants have signed to a 6 month fixed contract and regardless of what happens that will be honored. The way we see it is that we are in a catch 22. At some point we will have to dissapoint tenants otherwise we would never sell


I guess it's a matter of timing

Wellington Will

I don't think you necessarily have to disappoint your tenants, and it's difficult to second guess their situation without asking them or telling them your own situation.

First, you can offer them first refusal and a lower asking price. After all, it doesn't have to go through an agent.

Second, you can explain the situation and offer them a lower rent for their cooperation with the sale process.

I would suggest, however, that if you can't afford for the house to be empty for a few months (or even longer in this climate) it's probably not a good time to sell, as somebody else has suggested.

Will

whitesand

Forgive me if I'm a little dim, but why will you sometime have to disappoint tenants? You either rent your house out, or you put it on the market. Perhaps you want to do both and that can be problematic for you, and not the tenants. Sometimes it's better to do one of two things - not both. And why would anyone even care if you sell or not if they have not even signed up to rent from you?

On the issue to selling your house, I would imagine that an empty house sells much better than one which is cluttered with someone else's belongings.

Tan0410

What a fantastic idea

If we decide we do need to put the house on the market during the next six months we do have a little cushion in terms of dropping the rent. We currently pay interest only and an additional direct debit to make the amount up to a standard repayment so that we are actually continuing to pay the mortgage off. Was a precaution that we took. Could consider cancelling the additional direct debit and taking the equivalent off the rent.

Would also offer first refusal if it came to it but couldn't avoid fees as the property is looked after by a company and there are "estate agent" fees incorpoorated into the contract should you sell to a current tenant.

Is definitely food for thought...thank you

MOSO

Hi

I don't know where your property is located, but certainly in our area (Hertfordshire) the housing market is certainly picking up, there are lots more people looking and lots of sold signs going up. It's probably worth talking to estate agents and looking at websites such as rightmove.co.uk to see if it's the same in the area where your house is.

After more than a year on the market we've just had 2 offers within a week with more viewings lined up. We are getting lots of people through the door who are currently in rented and are now looking to buy as the property prices have now dropped to a more acceptable level

Having said that, we're also currently trying to sell my Grandparent's bungalow in Teeside and the property market there is completely dead - no viewings, or any sign of the market picking up

As far as we've been told you can't have a property up for sale once it is rented out, but presumably if your tenants know what's going on it should be okay.

Good luck and let's hope the housing market continues to get better....