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Short term 'letting'?

Covering Market, Trends, and Practical (but see LEMON-AID for Building & DIY)
DrFfybes
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Re: Short term 'letting'?

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Postby DrFfybes » December 30th, 2021, 10:50 pm

Many thanks for this CK. This was what we managed to prise from the solicitors, as you summised it was the conveyancing assistant who wasn't aware of what was possible.

As it happens our buyers' buyer's buyers' mortgage offer expired before everyone got their ducks in a row, so nothing had to happen in the end.

I'm not really sure what is happening with it all at the moment as all the sols are closed until next week, but J&M are still intent on moving in. We cleared the place in prep for them to come in with a licence, and as the place is empty their daughter who lives around the corner has been in cleaning and measuring up for carpets etc.

We may still go down the licence route, if only to allow them to decorate and do the updating they want to do before they move in.

Regards

Paul

GoSeigen
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Re: Short term 'letting'?

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Postby GoSeigen » December 31st, 2021, 7:16 am

Clitheroekid wrote:Firstly, sorry for not posting earlier - if it had been on the Legal board I'd have seen it and done so, but I hardly ever visit this board. I realise it's probably too late in this situation, but it may be useful to post for anyone else facing a similar problem, and also to correct some misunderstandings.

GoSeigen wrote:If they move in and it is their only home and you as landlord do not live there an assured shorthold tenancy (minimum 6 months fixed term) will be created whether you like it or not. Agreeing a licence will not get around that statutory, de jure situation. You will be liable for all the attendant obligations and they will not be obliged to leave without you obtaining a court order. So it depends how confident you are that they will co-operate and nothing will go wrong.

I'm afraid this is completely wrong. An assured shorthold tenancy would not be created in that situation, and the correct way of dealing with it would be to grant a licence to occupy, which gives no security of tenure or any other tenancy rights.


I'm grateful to Clitheroekid for adding his professional view.

Having pointed out that something is wrong, please could he help by giving the correct version? I've looked again at property law and it seems that if a licence is not properly created then it will be a common-law tenancy that has arisen, not an assured shorthold tenancy as I originally wrote. Is that what Clitheroekid had in mind?

Regards correctly agreeing a licence, obviously it would be in the owners' interest to get the advice of a solicitor and have them draw up the agreement, but for our education could he summarise the necessary conditions for granting a licence without inadvertently creating a tenancy (or link to the same)?


GS


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