Blod

Renting a town house for the past year, we have a long term written contract, agreed with our landlord for 6yrs. Yesterday he informs us that he is trying to sell the house and gave us the first option to buy. Being retired we are not interested in buying (preferring to rent). He needs to sell as his business is failing and he owes the bank a substantial amount of money. He has other properties also to sell and has told us not to panic as he hopes to sell with us as sitting tenants!!!

We have been good tenants, rent and utilities paid on time, we have maintained the property, renewing air con, cooker and various little jobs as he was not in a position to do any repairs. We like the property and love the area we live in.

Our payments have been in cash directly to him, though we do have a rent book recording all transactions.

We are going to arrange to see a solicitor today to see where we stand. DO we start looking for another place? If the bank repossess would they consider us as renting from them? so many questions.

Would love to hear from anyone who has been in a similar situation.

cricketman

I wouldnt worry about it. Even if the guy puts it up for sale then it probably won't sell for years. The bankrupcy process would take equally as long

If you signed a legal long term contract then I think you have the first refusal on buying the property, and if someone does buy it then they must honour your rental contract

spainrico

Sounds like he is doing everything 'by the book' tenants have to be given first refusal to buy. He is entitled to sell especially if he is in financial difficulties. If the bank finally take possession then see what they offer.

Leper

If I were you, I would be on the look-out for another rental property. It is a renters market out there at the moment and will be for years to come. But, you can do without an eviction hanging over you. Nobody knows how long it will take to sell the place, but though unlikely, it could be faster than you expect.

guirijohn

Only investors will be interested in a property with sitting tenants. If the property is mortgaged they will want to be sure that the mortgage is not in arrears because in Spain the debt remains with the property.

It would be worth doing a search in the property register to see how much equity the owner has in the house. If the mortgage is in arrears, or there is little or no equity, he has zero possibility of selling.

The property may be worth more without tenants, in which case the owner might be willing to buy you out of your contract. You are in a strong position.