Buying a property with a regulated tenant in?Make Text Bigger
I have chance of purchasing a reasonable property via an auction.The problem is that the tenant has been living there for many years and is on a regulated tenancy. I’m not sure how long this tenancy has been in place or the details about it. The rent is £3000 a year which is about 50% market rate for the house.
Is there a way of buying the house and then increasing the rent or what are the rules about evicting the tenant? I could let the tenant stay but the rent would need to increase. Could this end up being a hot potato or can there be a way forward?
Any advice will be greatly received.
P.S this is in England if that makes a difference to tenancy laws.
A Google search on the word regulated tenancy and found a PDF explanation document produced by “Communities and Local Government which you may find useful – see >>> http://www.communities.gov.uk/documents/housing/pdf/138295.pdf
- There are many forms of regulated tenancy, find out exactly what you are dealing with.
- We are not aware of any lenders who will provide finance on properties with regulated tenancies. You may not require finance but if any readers are aware of lenders offering terms we would be very interested to know about them.
Question from Editor Regarding Properties with a Regulated Tenancy
How much discount would you expect to receive on a property with a regulated tenant vs an identical property with vacant possession?
Would the expected discount vary depending on the age of the tenant?
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