What happens if landlord wants to sell?

[grant32]

I have just signed an assured shorthold tenancy agreement for 12 months, which begins in two weeks time. I have just discovered that the property is also for sale. What happens if the property is sold whilst I am a tenant? Will I be required to move out, or does the tenancy transfer to new owner. I'm struggling to find information about this, and what my rights are. Thanks in advance.

[MrShed]

The tenancy transfers, and your rights remain exactly the same

[Resoli]

Not always Mr. Shed, the landlord could serve a s21 notice, Housing Act 1988 requiring possession after 8 weeks.

[Planner]

Not always Mr. Shed, the landlord could serve a s21 notice, Housing Act 1988 requiring possession after 8 weeks.

 

I think you need to re-read the original question.

 

A section 21 notice cant be used in the fixed term of the tenancy.

 

If a 12 month tenancy is signed, and the house sold two months into the tenancy, the new houseowner is stuck with the tenant for at least a further 8 months before the section 21 can be brought into play. Otherwise there would be even less security of tenure and what would be the point in signing 6 or 12 months tenancy agreements?

[Resoli]

Where does it say that a s21 can't be used? I was under the impression a s21 can be used for any purpose, irrespective of the term of the tenancy. This not the case?

[Planner]

A section 21 can only be used after the end of the fixed term i.e. when the tenancy has become periodic. It can obviously be served during the fixed term, but only utilised afterwards. If after service of the section 21, the tenant is still under no obligation to leave. A court order would be required in order to 'officially' end the tenancy. Funnily enough, all this is said in section 21 of the 1988 housing act.

You could possibly be thinking of a section 8 notice?. These are applications to the court for either mandatory or non-mandatory reasons for eviction. So a mandatory reason for eviction would be that the rent hasn’t been paid for x2 months etc. This can be used in the fixed term, BUT change of ownership is not one of the reasons that a court would end an AST.

[Resoli]

Cheers for that. Which notice can be given to end a tenancy in the term? I've a vague recollection that there is one???? I was under the impression that a s21 was the right one - maybe not (!).

[Planner]

None! thats the idea of a fixed term!

 

A section 8 can be given if the rent hasnt been paid etc, but nothing can end a tenancy during the fixed term if a landlord just fancies the house back.

[MrShed]

Correct Planner - thanks for answering in my absence