My friend is purchasing a property which they were told has a tenant in it returning a reasonable rent according to the agent. All sounded good, but now we find out the tenant is a friend of the vendor and there is no lease agreement in place. The tenant wants to stay on, but is unsure how long for as they are building but guess it will be at least another 6 months.
What does my friend need to do in order to make sure this tenant is all above board and continues to pay the rent stated by the agent? How do they sign up to purchase this property but also state they want a lease agreement in place so it's all legal?
The reason for the urgency is that the offer has been made and accepted verbally and they are now finalising the paperwork but aren't sure what needs to be done to protect them and ensure this lease is all ok. The other thing is landlord insurance which they will want during this time. That can only be taken out with a lease agreement in place can't it?
Thanks!
What does my friend need to do in order to make sure this tenant is all above board and continues to pay the rent stated by the agent? How do they sign up to purchase this property but also state they want a lease agreement in place so it's all legal?
The reason for the urgency is that the offer has been made and accepted verbally and they are now finalising the paperwork but aren't sure what needs to be done to protect them and ensure this lease is all ok. The other thing is landlord insurance which they will want during this time. That can only be taken out with a lease agreement in place can't it?
Thanks!