Re: Change of Ownership Drama - Landlord Forum thread 360917

Re: Change of Ownership Drama by Thomas on November 2, 2020 @13:37

Closing was completed, and all monies and lease transferred, on October 30th. The tenant signed a notification to vacate, dated October 31st (it arrived today-Nov2- via certified mail). Common sense tells me I would obviously need to transfer next months rent (deposited to me 1 day after I no longer owned it) and the vacate notice to the new owner, BUT....I know rental laws sometimes go out of their way to protect the tenants, and don't always abide by "common sense". I see where this is going....when they leave he's going to expect ME to reimburse his deposit (even though I no longer own it). His rationale is that he never entered into any written agreement with the new owner, therefore shouldn't have to fall under any provisions within the lease regarding his deposit, as handled by the new owner. It's all very crazy. I'm just hoping it doesn't get to the point where I need to hire a lawyer--I was a small-time landlord (that was my only rental property...don't have a lawyer on retainer or anything). Thanks, I'll keep you posted. I'm planning on forwarding the notice letter/rent$ to the new owner tomorrow (certified). Big question I guess--If the property is occupied at time of ownership transfer, the lease transfers to the new owner (even though MY name is on the lease), correct? Can the tenant really just refuse to sign a new agreement with the new owner and come back to me for security deposits when he moves out, even though he didn't give a 30 day notice to vacate until after I no longer owned it? Bewildered!

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Re: Change of Ownership Drama by lpadave on November 3, 2020 @03:16	[ Reply ]

As long as your closing documents are clear in detailing that the tenants deposit was in fact transferred from you to buyer,... I think you're fine. It may take a letter or two from you to the tenant,...but the tenant's screaming at you isn't going to go anywhere. Most form leases contain specific language about sale of property. Re read yours carefully, AND look up your laws. I think your real exposure might be with the buyer if he was expecting to be buying a unit with a good performing market value tenant in place,....and staying.

Re: Change of Ownership Drama by lpadave on November 3, 2020 @03:24	[ Reply ]

Also. Did you take move in. Or last inspection photos of unit for conditions, AND forward copies to the new buyer .? There may be a conversation between departing tenant and new owner over exit conditions,....with tenant claiming to new owner that the conditions existed when tenant moved in.

Re: Change of Ownership Drama by Thomas on November 3, 2020 @09:30	[ Reply ]

Thanks for the response. The lease does not specifically mention anything about the duplex changing ownership. I looked up our state's "Landlord-Tenant law" and the only thing I could find that might work against me is, "Landlords should provide written notice to tenants when ownership of the property is transferred to a new landlord". Even though the tenants were completely in the loop during the entire time it went on the market, and sold, the only written notifications I gave them was text messages--hopefully that constitutes as "written notification" if push comes to shove. Going to send that check for November's rent, and the vacate notice, to the new owner's property management company today. Hopefully that'll be the end of it, but I can't help but think this militant tenant has other things in mind. Any further advice would be appreciated, otherwise I'll let everyone know how it turns out later.

Re: Change of Ownership Drama