What are my rights as a tenant when the property is sold? The answer depends on the type of tenancy you have. When the property that you are leasing is sold it creates a lot of confusion. Many realtors believe the sale of the property voids the existing leases, that is not accurate. If you have a written lease the new owner must abide by the existing lease. If you are a month-to-month tenant, you may be vulnerable to eviction. If the new landlord is threatening to evict you it after taking ownership it is always best to consult an attorney immediately.
Written Leases Effect on Sale of Property
Tenants that have written leases continue to be Tenants of the new owner under the terms of the existing lease. Do not be intimidated by a realtor or new owner claiming the sale voids the lease. The sale of a Leased property is governed by section 250.104 of the PA Landlord Tenant Act. Section 104 states any person who acquires title to the property by inheritance or purchase shall be liable to the same duties and rights as the original owner. That means the tenants lease from the original owner is still in force and the tenant may continue to reside in the property if the rent is paid until the lease expires.
There may be a clause in the existing lease that voids the lease in the event of a sale. It is a good idea to have a Landlord Tenant attorney evaluate your lease to see if it contains a clause voiding the agreement if the property is sold. Just because that clause is included in your lease doesn’t make it legal, so it is extremely important that you have an experienced landlord tenant attorney examine the lease.
Month-to-Month Tenants Not Protected from Eviction
What are the rights of a month-to-month tenant when the property is sold? The month-to-month tenant is not protected from eviction when there is a change in ownership. The new owner may sever the month-to-month tenancy with a 15-day notice to quit. If you are a month-to-month tenant with a written lease it is a good idea to have an experienced landlord tenant attorney review the document when the property is sold to determine if it allows you to continue in the lease. Sometimes when a landlord writes what they call a month-to-month lease they are really creating a year-to year lease that would afford the tenant the right to stay until the lease expires.
If your landlord sells the property you are leasing, we are available for a free consultation regarding protecting your rights. Do not allow yourself to be intimidated by a realtor claiming they are right or an overbearing landlord.