We have an extended settlement period (settlement mid-June) on a residential property purchase. The contract is standard (I don't have it in front of me). The tenant has given notice early with a defence force clause - was due to expire in November anyway. The old owner is putting in a new tenant but on a 3-year lease - I apparently have no property rights to vet this new lease. Is this true?
NSW Tenant Breaks Lease During Settlement Period - Property Rights?
- Thread starter Kitkat
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Sorry, just been made aware that there is a special condition, which, amongst other things, says that the current tenant may vacate and the purchaser shall accept the property as a vacant possession or with a new lease and that the vendor does not warrant that the rental at the time of completion shall be the same as the date of contract.
I was not aware of this clause (my fault, I know) but is this standard?
I was not aware of this clause (my fault, I know) but is this standard?
Doesn't particularly matter if it is standard. You signed the contract and unless there has been some misrepresentation you are probably stuck with it.
You should check with your solicitor. If you didn't have one for the purchase and used a conveyancer I suspect there is a lesson here for you.
You should check with your solicitor. If you didn't have one for the purchase and used a conveyancer I suspect there is a lesson here for you.
Hmm, did he point out that clause or mention the special conditions? In Vic it is law that where a purchased house contains a tenant the house is purchased subject to the lease agreement. Not sure about NSW so it may be the contract doesn't matter as you are still subject to the law.
What are the consequences for you as result of this situation, and what did you advise the solicitor when purchasing the house (ie it was an investment or home)?
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