Buying tenanted property at auction
A number of properties have come up for sale at auction which are in the hands of the LPA receiver after the landlord went into receivership. The property i will be bidding on has a tenant. I visited the tenant as the auctioneers are saying no viewings to see if i could facilitate a look around which was refused and i noted the auctioneers sign hidden at the side of the house.Clearly she does not want people to know its for sale. I made enquiries with neighbours who say she has been there for about 4 years and has improved the property. When i spoke to the tenant she was surprised i knew it was for auction, was dressed tidily and although not allowing me access was polite saying they were considering buying it themselves.
My questions are:-
- Should i look for anything specific in the legal pack? I suspect it will be a Assured shorthold tenancy which has probably expired. What if there is no tenancy attached? What else should i look for?
- I dont beleive this landlord took deposits so i doubt anything is registered with the DPS. If he did how can i view this or find out if any deposit has been made? Who would be liable for deposit if he took one?
- If a deposit was made and the landlord kept this without depositing it what if any issues are there? What ongoing issues could there be if i wanted to serve section 21 and a deposit was made to the previous landlord?
- If i purchased it. Would i be better off starting a new tenancy and what would be the implications if the tenant refused?
- What if any forms would i have to serve on the tenant once and if i complete the sale?
- Could i serve a section 21 notice on the tenant straight away? and if so would this be an A or B?
- What if the tenant refuses access after and if i purchased it. How would i legally obtain access?
- If i could find out from the receiver that rent had not been paid for a couple of months could i immediately commence posession proceedings?
I appreciate this is a lot of questions but any advice would be gratefully appreciated.
I have no objection for this to go on the members forum.
Thanks and Regards
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