Property ownership questions?

Property ownership questions?

9:27 AM, 19th June 2023, About 2 years ago 26

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Hi, I am unsure of what actions we as a family need to take in the situation we are in now. I bought a property in 2009, transferred it to my two children 50/50 in 2010. However, I continued to manage the property, and both children received regular rent in their joint account and they continue to do that to date.

The issue is that the current tenancy agreement is between myself and tenants, not my children. That was set up in 2015 by the estate agents, who said it would be fine in my name when I asked them at the time. Is that still ok?

The other issue is that the tenants have always dealt with myself, and do not know my children. So, when I sent them a section 13 notice from my daughter, who is a legal owner of the property, the tenants asked it to be the same as before which was from me with my name and address and signature. I did that, and all is well for now, but I am not sure how long I can continue managing myself and wish to give it to my children to do manage. The rent is at least £150 less than the similar properties in the area, so that needs to be increased in the right way keeping everyone happy, hopefully.

Any advice for me from any readers?

Thank you all in advance indeed.

Asha


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SCP

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2:00 AM, 20th June 2023, About 2 years ago

Is not the Tenant entitled to know the identity of his Landlord, which includes the Landlord's address - vide section 48 Landlord and Tenant Act 1987?
This is a requirement from the outset. When you grant a tenancy, you have to comply and tell the Tenant who the Landlord is (including an address within the jurisdiction for service of documents, including notices).

Kizzie

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17:07 PM, 20th June 2023, About 2 years ago

I have not read what is the status of the people in the property. Are they paying rent or are they on an Assured Shorthold tenancy agreement? If the former and they have been misled and not informed of the legal name and address of the landlord then they are not liable for rent until formally notified. If AST agreement then a legal duty under s3 landlord & tenant act 1985 to inform tenant of assignment of LLs interest and failure to do so is an offence liable to penalty.
Nothing to do with identifying qualifying leaseholders.

SCP

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17:14 PM, 20th June 2023, About 2 years ago

Reply to the comment left by Kizzie at 20/06/2023 - 17:07
Hi
I disagree with you.
A question arose can the identity (which includes address within the jurisdiction) of the "Landlord" be kept vague and is not the address of the "Landlord's Agent" sufficient?
Held, No.
Section 48 is not satisfied.

Kizzie

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17:31 PM, 20th June 2023, About 2 years ago

Reply to the comment left by SCP at 20/06/2023 - 17:14Reply to SCP
I don’t follow your point. It is a legal duty under s 3 LTA85 to inform AST tenant of assignment of landlords interest, obv. for legality so tenant can serve notices on landlord at the legal address and also declaration to HMRC by landlord

SCP

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17:51 PM, 20th June 2023, About 2 years ago

Reply to the comment left by Kizzie at 20/06/2023 - 17:31
Your comment implied that my point was somehow irrelevant.
The first problem identified was about when you buy or become an assignee.
Normally, your solicitor would serve a notice to the existing tenant about the new owner and how to pay the rent.
In the instant case, it would appear the Tenancy Agreement never contained the notice under section 48.
It is absolutely essential that a Landlord be identified. He cannot hide behind an Agent. The Tenant must be notified both the identity of the Landlord and his address within the jurisdiction.
Hope this clarifies.
I am sorry I cannot entertain further comments (from me).

Kizzie

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18:09 PM, 20th June 2023, About 2 years ago

Reply to the comment left by SCP at 20/06/2023 - 17:51
To clarify a landlord in a tenancy or lease agreement does not change during the length of the contract. What does change is who takes on the role or interest of landlord from the previous entity who had the role or interest of landlord who enforces the covenants and disposes of service charge under provisions of the lease.

Under Beitov the freeholder ie the owner of the property cannot hide behind a MA or estate agents address

aga smart

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19:22 PM, 20th June 2023, About 2 years ago

Reply to the comment left by Julesgflawyer at 19/06/2023 - 10:08
Thanks for your reply. I must admit I don't follow all your legal information myself unfortunately. all different sections you mentioned, and yes, I will probably need a good solicitor. However, could there be a question about even the tenancy agreement being not valid in our case? It is between myself and tenants, not the legal owner appear anywhere. They just simply get the rent paid in their account, and tenants know I am not the legal landlord.

aga smart

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19:29 PM, 20th June 2023, About 2 years ago

Reply to the comment left by David at 19/06/2023 - 15:15
That is well said David! I am very pleased but need to give up the management with putting things right at some point. I wonder if the tenants would agree to a new tenancy agreement to put it in the name of my children rather than myself.

DPT

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23:29 PM, 20th June 2023, About 2 years ago

You can continue as the landlord for as long as you and your children wish this to be the case. When that changes, you need simply to serve a s3/s48 notice to notify the tenant of the names and addresses of their new landlords.
I wouldnt recommend transferring that responsibility to anyone who is not up to speed on the requirements of the role.

Darren Peters

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7:24 AM, 24th June 2023, About 2 years ago

“I wonder if the tenants would agree to a new tenancy agreement to put it in the name of my children rather than myself.”

Why not give notice on the existing Tenancy and offer a new Tenancy in your children’s name at whatever rent you feel is fair?

It’s not a question of whether they agree or not.

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