Deposit transfer to new landlord after previous owner of the house died

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    Deposit transfer to new landlord after previous owner of the house died

    Hi, I am student who lives in a house which was sold couple months ago to the new owner.I paid deposit to the previous owner but he died and his wife doesn't respond any calls. New owner said that we have to find a way to receive this deposit because he did't receive our money from previous owner's wife while buying the house from them. He is obligated to somehow find a way to get this deposit back from them or this is something that I and my other tenats have to figure out ?

    #2
    The solicitors should have been aware. It is part of their job when the conveyancing was done. IMO.

    Comment


      #3
      The landlord took on all of the previous landlord's responsibilities and liabilities when they bought the property - it happens automatically on completion.
      They will have to "return" the deposit, regardless of whether they have it or not.
      If they don't have it that's their problem, not yours.

      The landlord is also obliged to protect the deposit and provide proof (in the form of the Prescribed Information) that they have done so. They have until 30 days after completion to do that. They can incur penalties if they don't.

      They also have to serve specific notices to you to confirm their identity and address and that they are now your landlord and own the property. Not doing this is technically a criminal offence (although it's never prosecuted or enforced), but does stop them serving a number of other notices.

      Without the notices, technically, you're not obliged to pay him rent (although it's still due and you'll have to pay it all when he does serve the notice, so I wouldn't do anything in practice!)

      I'd suggest, politely, that he should probably take legal advice as he may have a number of issues he's not aware of - not least of which is protecting and returning a deposit he hasn't actually got.
      When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
      Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

      Comment


        #4
        Originally posted by jpkeates View Post
        The landlord is also obliged to protect the deposit and provide proof (in the form of the Prescribed Information) that they have done so. They have until 30 days after completion to do that.
        I was not aware that this is the law.

        Could you provide the basis for this statement, please?

        Comment


          #5
          Originally posted by MdeB View Post
          Could you provide the basis for this statement, please?
          s213 Housing Act 2004.

          On completion, the buyer receives the deposit from the seller.

          When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
          Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

          Comment


            #6
            So you are saying that the deposit is deemed to have passed to the buyer, even if it is not explicitly dealt with, and therefore S213 kicks in?

            Comment


              #7
              Yes.
              The purchaser steps into the shoes of the seller*.

              There are two separate elements, the tenancy deposit and the regulations associated with it and the liability to look after it and "return" it, all of which are part of the tenancy that has been acquired and the actual sum of money involved.

              In parallel, there's likely to be something in the sale and purchase agreement that covers it off. Those pages of small print that no one has ever read must be doing something.

              If the purchaser's conveyancer had seen the tenancy agreement, it isn't great that they failed to resolve the deposit issue - it's something that must arise every time a tenanted property is sold.

              *I have just had an odd thought about what would happen if the seller isn't actually the landlord on the tenancy (but that's a hypothetical for another day).
              When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
              Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

              Comment

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