Help needed: on tenancy agreement

[C3P0]

Hi fellow forummers,

One of my relative is buying a private apartment that is currently tenanted.

At the point of giving the 1% deposit, and also at the point of signing the OTP at the lawyer's premise, my relative was not informed by the agent that the tenancy has been extended. He had even informed the agent that he will need the tenancy to end timely, and it cannot be extended.

However, he was subsequently informed by the agent, that the seller had agreed with the tenant to extend the tenancy agreement, by another 4 months.

I hope my story is clear, as I am trying my best to relate the situation.

The query is: is there anything he can do now? He has approached both the seller and agent, but they seem to be pushing the blame to each other - seller says he has informed the agent about the extension; agent says the seller never inform him.

Will seek to seek fellow forummers' kind advice on this. Many thanks for reading my long post.

[hum@n]

Robot, i think if they try to push blames then just follow what is agreed on paper lor.
Tenancy agreement got state current tenant extend another 4 mths? Im sure they need to state that on papers.
If not then let the 3 parties settle themselves. And if the agent is trying to siam responsibilities, then can report to CEA.
CEA - Council for Estate Agencies

[Bimmer80]

Think the OTP should have detailed the tenancy. If the seller has signed then it should be legal binding should the buyer exercise the option. However, be prepared, because at the end of the day, seller will just take the $ and disappear upon completion. Any legal dispute against the seller thereafter will be costly and time consuming.

[SC332]

I thought got a thing called cooling off period, buyer can opt to abort exerciseof OTP right?

[iScoupe]

Robot, i think if they try to push blames then just follow what is agreed on paper lor.
Tenancy agreement got state current tenant extend another 4 mths? Im sure they need to state that on papers.
If not then let the 3 parties settle themselves. And if the agent is trying to siam responsibilities, then can report to CEA.
CEA - Council for Estate Agencies

human that is the most serious reply u ever post !

Robot when house warming?

[C3P0]

Robot, i think if they try to push blames then just follow what is agreed on paper lor.
Tenancy agreement got state current tenant extend another 4 mths? I'm sure they need to state that on papers.
If not then let the 3 parties settle themselves. And if the agent is trying to siam responsibilities, then can report to CEA.
CEA - Council for Estate Agencies

Yup hum@n, tenancy agreement (not the OTP) did state that the tenancy can be extended up to 1 year, though the tenant only wanted to extend for 4 months.

The OTP only states that the "The property is sold subject to existing tenancy agreement".

My relative knew of the above extension clause in advance, and had told the agent - at the point of making the offer of 1% deposit, and also when receiving the signed OTP from the seller, that he will need to move into the house on time, i.e. the tenancy agreement should not be extended.
The agent at that time even told my relative to ask his lawyer to write a letter to the tenant, to inform the tenant that the tenancy agreement will not be extended.

Only after the OTP is signed, then the bomb shell - that an extension has been agreed between the seller and the tenant - was dropped.

Thanks for the CEA link too!

I thought got a thing called cooling off period, buyer can opt to abort exerciseof OTP right?

Hi Steven, is this cooling off clause contained within the OTP?
The problem is that the bomb shell was only dropped after the OTP was signed....

Think the OTP should have detailed the tenancy. If the seller has signed then it should be legal binding should the buyer exercise the option. However, be prepared, because at the end of the day, seller will just take the $ and disappear upon completion. Any legal dispute against the seller thereafter will be costly and time consuming.

Hi Bimmer80,
The OTP stated that "The property is sold subject to existing tenancy agreement.", without specifying the period of extension that had been agreed between the seller and the tenant.

In fact, the extension of tenancy agreement had taken place before the 1% deposit was even offered to the seller. But it was never informed to my relative, until the OTP was signed, and despite my relative making it very clear to the agent that the tenancy was not to be extended because he needs to shift in by the date the original tenancy agreement ends.

Yup, you are right that the seller will probably slap slap backside and flee. Chao turtle....

[hitmee]

I think the agent just wanted to close the deal. Hide certain information.

Lesson one: dun choose lousy agent.

[hitmee]

human that is the most serious reply u ever post !

Robot when house warming?

4 months later?
Heee heee

[C3P0]

human that is the most serious reply u ever post !

Robot when house warming?

I keep wondering how come ac323 answer this way, nbz.
Any good advice? I know you very smart one.

[C3P0]

I think the agent just wanted to close the deal. Hide certain information.

Lesson one: dun choose lousy agent.

Could be.

The agent is the seller's agent, and not one that is hire by my relative.