Buying or Selling a Home/landlord selling my rental house
Expert: Karyn Foley - 1/13/2009
QuestionI signed a lease granting me residence from 9/1/08 through 8/31/09 of a single-family house and have been living here now for 5 months. The owner (who lives in the UK) just informed me that she wants to list the house to sell immediately and have us remain as tenants for whomever buys the property (carry-over the lease to the purchaser). No mention has been made of us vacating or terminating our lease upon the sale, and she made a big deal about us not having to leave when the house is sold. One of the two tenants was given and declined first-refusal but not the other tenant.
Our lease does contain the standard inspection/sale clause common to rental agreements. After moving across country TWICE in 17 months I selected this property as the owner was anxious to find a long-term tenant and guaranteed us that we wouldn't have to move again for as long as we would want to renew our tenancy each successive year, and urged us to make it "our own". That was the only reason I rented the house in the first place as it certainly isn't my dream home due to incredible neglect I inherited from previous tenants and have been forced to repair out of pocket to have a livable home (painting the entire house inside, repairing cabinet, replacing electrical works).
I understand that the promises made to us about wanting long-term tenants aren't legally binding, but how can we be expected to remain tenants with just any one that buys the place? Our local housing market in Tacoma WA is miserable with nothing selling, but I don't relish 7 months of constant interruptions with my cats escaping and my possessions (some rare and valuable antiques) being insecure. Also I can tell that if a buyer emerges who doesn't want tenants I'll get an eviction notice even though my lease isn't up, based on how quickly the attitude of the owner has changed this past week.
Can you recommend anything that might be useful to my current predicament? Thank you for any assistance you might provide. Also, I chose you from the list as your comments are always informed, fair and you don't beat around the bush at all!
AnswerDear John:
I do not have a copy of your agreement so I can only answer on a general basis. All real estate contracts and agreements must be in writing. So, if you expect that it is up to you to have to option of renewing or leaving after your current lease expires, it must be stated in writing and signed by all principals. If this is stated, then it is probable that the new owner purchases the house subject to the existing leases! But, laws are different from state to state, city to city etc. so you might want to call up your state's department of real estate or check with the city where the house is located, as it may have rent control laws, too.
I do not know why your inspection clause is relevant to this situation.
Also, you should look into your legal rights with reference to showing the property. It may not be legal to place a lock box on the property without the written consent of the tenant which could hinder showings. If you have an advance appointment, and these can be regulated, it still may hider your lifestyle. Some landlord owners are wise, and offer rental discounts to cooperative tenants.
I would suggest , in addition to your calls to local agencies, a visit to a real estate attorney who can lay out all your rules and options, and if many are in your favor, support your position with a clear letter to your landlord. What might even be less expensive for you, is a storefront law office that could handle minor areas like landlord-tenant issues at a lesser price. A real estate agent might be a informed source for information, too, but no real estate agent can "practice law without a license", but it is a first step to resolve your position.
I share your concern about your cats and antiques. No matter what, you should make certain you have tenant insurance for your valuables. Now, and forever as long as you rent.
You may find that you have to spend a few bucks, but you will at least be put on a correct and legal course of action. In the long run it might actually save you some money.
If you end up staying and renegotiate a lease for the same house, or enter into an agreement elsewhere, see if you can lease for two years, or better still, as life changes and you never can see what is ahead, have a clause giving you (you and not the landlord) the option of renewing (maybe at the same terms and amount) the right to renew for one (or longer) additional years. At your option!!!!! Never hurts to have an agent or an attorney support you for a minimal amount to write it up and thus making easier to enforce. This keeps everyone on track with following through the intent with a solid contract.
So sorry you are gong through this. It is probably uncomfortable for your landlord too, because why else would some one want to sell in this market when the sale price would be low. They probably really need the money.
I have an idea: Check with AllExperts again, this time asking to connect with some one who knows landlord/tenant law. That costs you nothing and would be valuable.
Please let know what happens, and good luck to you. Thanks, also, for the kind comments!!!!!
Karyn Foley