What Happens When You Buy a Home With Tenants in Situ?

Buying a property that already has tenants can be an attractive option, especially for buyers looking for an investment or a home that will remain rented for a while. But the conveyancing process works a little differently when a tenancy is involved. Understanding what to expect early on can make the experience much smoother and help you make confident decisions.

What Is a Tenanted Property?

A tenanted property is a home that is being sold with the current tenants still living there. This is sometimes called “tenants in situ”. In most cases, the existing tenancy continues after the sale, meaning you take over the previous landlord’s responsibilities.

Tenanted sales are common with buy-to-let properties, portfolio sales, and situations where tenants are happy to stay on.

Why Is It Important to Understand the Process?

A sale involving tenants has extra legal and practical considerations. These include: - Reviewing all tenancy documents - Understanding the current rent and deposit arrangements - Checking that the tenancy has been set up correctly - Confirming your obligations as the new landlord

Knowing this information helps you avoid surprises and ensures you comply with the law from the moment you complete your purchase.

What Should You Expect During Conveyancing?

1. Reviewing the Tenancy Agreement

Your conveyancer will check: - The type of tenancy (usually an Assured Shorthold Tenancy) - The length of the current term - Rent levels and payment history - Any break clauses or special conditions

2. Deposit Protection Checks

The seller must provide evidence that the tenant’s deposit is properly protected in a government-approved scheme. If documents are missing or incorrect, indemnity insurance may be needed.

3. Safety Certificates and Compliance

Your conveyancer will request: - Gas safety certificates - Electrical safety checks - EPCs - Records of smoke and carbon monoxide alarms

These checks confirm that the landlord has met their legal obligations.

4. Rent Arrangements on Completion

On completion day, any rent that has been paid in advance will be apportioned. This means you receive the correct amount from the seller for the period after you become the new owner.

5. Ongoing Landlord Responsibilities

After completion, you take on the full responsibilities of the previous landlord. This includes repairs, renewals of certificates, and returning deposits at the end of the tenancy.

Common Issues or Tips

• Missing documents: Sometimes landlords cannot provide full compliance documents. Your conveyancer will help resolve this, often through insurance.

• Unclear tenancy terms: Occasionally, a property may have informal or undocumented arrangements. These need careful review.

• Not planning ahead: If you intend to live in the property in future, you must follow the correct legal process to regain possession.

A good conveyancer will guide you through each of these issues and ensure you understand your rights and obligations.

Summary

Buying a home with tenants in situ can be straightforward with the right guidance. By reviewing documents carefully, checking compliance, and preparing for landlord responsibilities, you can make a confident and informed purchase.

Disclaimer

At Arrow Conveyancing, we understand how important it is to feel supported throughout the conveyancing process. Whether you’re buying, selling, or just planning ahead, our experienced team is here to make things simpler, clearer, and more reassuring.

Visit: www.arrowconveyancing.co.uk
Call: 0116 266 5394
Email: hello@arrowconveyancing.co.uk

Disclaimer

The materials on this website do not constitute legal advice and are provided for general information only. Whether express or implied, no warranty is given concerning such materials. We shall not be liable for any technical, editorial, typographical, or other errors or omissions within the information provided on this website, nor shall we be responsible for the content of any web images or information linked to this website. The information contained in this article does not constitute financial advice or recommendation and should not be considered as such. Arrow Conveyancing does not offer financial advice and is not regulated by the Financial Conduct Authority (FCA). The authors of this article are not financial advisors and are therefore not authorised to offer financial advice.

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