Landlord Selling Unit, What Can Tenant Do?

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jjk
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Landlord Selling Unit, What Can Tenant Do?

Post by jjk » Sat, 23 Jan 2010 11:34 pm

Hi,

Need some advice here...

My landlord is selling his place. According to him, he has a potential buyer with a good offer he can't refuse. The only thing is, this buyer is looking to stay in the unit (i.e. not for investment). So now my landlord is asking me to move out. He has suggested some form of compensation. The tenancy agreement does not provide for early termination (either by tenant or landlord).

Just wonder what can I do? I just moved in only...stayed for a few months only (less than half a year). My lease is for 2 yrs. I heard from colleagues that my landlord has to sell the place with tenancy. But seems like the buyer does not want to accept it? So my landlord is trying to manage me so that he can close this deal.

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by therat » Sat, 23 Jan 2010 11:46 pm

private or HDB

Is the TA stamp?

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by x9200 » Sun, 24 Jan 2010 10:24 am

jjk wrote:Just wonder what can I do? I just moved in only...stayed for a few months only (less than half a year). My lease is for 2 yrs. I heard from colleagues that my landlord has to sell the place with tenancy. But seems like the buyer does not want to accept it? So my landlord is trying to manage me so that he can close this deal.
If there are no particular regulation governing this kind of situation the new landlord can kick you out with no mercy whatsoever but the old one is still bonded by the terms of the contract. Being force to leave you can claim back from him all the damages and expenses including Movers, temporary accommodation and difference in rent (if any) for relocating to similar place (or sometimes better) within similar area for the remaining period covered by the contract.

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by Saint » Sun, 24 Jan 2010 11:31 am

x9200 wrote:
jjk wrote:Just wonder what can I do? I just moved in only...stayed for a few months only (less than half a year). My lease is for 2 yrs. I heard from colleagues that my landlord has to sell the place with tenancy. But seems like the buyer does not want to accept it? So my landlord is trying to manage me so that he can close this deal.
If there are no particular regulation governing this kind of situation the new landlord can kick you out with no mercy whatsoever but the old one is still bonded by the terms of the contract. Being force to leave you can claim back from him all the damages and expenses including Movers, temporary accommodation and difference in rent (if any) for relocating to similar place (or sometimes better) within similar area for the remaining period covered by the contract.
That is not correct especially if the TA is legal and the Stamp Duty has been paid. In these cases the TA automatically transfers to the new owner who has to honour the terms of the contract to the full.

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Post by observer » Sun, 24 Jan 2010 11:57 am

I think this is the first time I've read a situation that might actually be favorable to the tenant! Assuming the Tenancy Agreement is stamped and legal, I would do exactly as suggested by x9200, calculate all the costs of a move (movers, agent fees, stamp duties, insurance, air cond contract, etc), add up the difference in rent (if you moved in less than 6 months ago, you will find that rents have come up a little bit), and just move into a better place. Do this within two months (fair notice) of the written request to vacate, else, accept monies in lieu of.

The landlord will likely agree to whatever you ask, as the sale of the unit (an offer he can't refuse) will likely cover everything and then some.

However, if you insist on staying, buyer will not buy, your landlord will be angry at you for the rest of the tenancy. Even worse, he may try to make your tenancy difficult.

Just make a deal favorable to yourself! As a foreigner myself, I cannot see why I would insist to stay under these circumstances.

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Post by ksl » Sun, 24 Jan 2010 3:29 pm

No need to make it worse, just add up what it's going to cost you to move and add a little more on!

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by x9200 » Sun, 24 Jan 2010 5:08 pm

Saint wrote: That is not correct especially if the TA is legal and the Stamp Duty has been paid. In these cases the TA automatically transfers to the new owner who has to honour the terms of the contract to the full.
Good to know, but this changes only the addressee of the claim. Does anybody know under what statue is this covered?

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by therat » Sun, 24 Jan 2010 5:49 pm

quote="Saint"]
x9200 wrote: That is not correct especially if the TA is legal and the Stamp Duty has been paid. In these cases the TA automatically transfers to the new owner who has to honour the terms of the contract to the full.
Not such thing as automatically transfers to the new owner unless they exercise OTP stated sale with tenancy. Which they agree to take over the TA/

Why should the new owner force to take over the TA if they does not want. The most they look for another unit.
Deal OFF

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by x9200 » Sun, 24 Jan 2010 6:04 pm

therat wrote:Not such thing as automatically transfers to the new owner unless they exercise OTP stated sale with tenancy. Which they agree to take over the TA/

Why should the new owner force to take over the TA if they does not want. The most they look for another unit.
Deal OFF
It can be simply by law. In some European countries it is included in The Civil Code but EU is very socialistic and often overprotective (tenants/consumers) so I was rather expecting not having it in SG.

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Post by jjk » Sun, 24 Jan 2010 7:38 pm

The TA is stamped. This is a pte condo.

I agree that if buyer dun buy, coz buyer does not accept the tenancy, then current landlord may make it difficult. And while tenant has not done anything wrong, it's like, no peace for the rest of the lease.

The TA does not stipulate anything about giving either party 2 mths notice to terminate the contract. So I shd still assume it's 2 mths' notice and move out within 2 mths? Gosh...I moved in less than 6 mths, barely unpacked everything and now I have to pack again. That's ridiculous! I guess I can't really wait till the sale is over to calculate also, cause rents may move further up and I may end up in a worse off position...

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by ksl » Sun, 24 Jan 2010 10:18 pm

x9200 wrote:
therat wrote:Not such thing as automatically transfers to the new owner unless they exercise OTP stated sale with tenancy. Which they agree to take over the TA/

Why should the new owner force to take over the TA if they does not want. The most they look for another unit.
Deal OFF
It can be simply by law. In some European countries it is included in The Civil Code but EU is very socialistic and often overprotective (tenants/consumers) so I was rather expecting not having it in SG.
Singapore law is based on UK guidance and not European guidance so in that case I would believe the law lords would probably refer to the UK laws. UK doesn't follow European laws, even when forced by Europe.

It's all about what is beneficial to the Governments, not the people.
Tenants have no rights in Singapore, So I'm not fully convinced the tenant would be protected in this case unless it is written somewhere

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Post by macaroonie » Mon, 25 Jan 2010 9:47 am

Hey dont be sad, i see this situation as a fantastic opportunity for you to move out to an even better place!!! Since the tenancy agreement is stamped and legal, then go by the book. What i understand, if the landlord wants you to move out, then he also needs to give you 2 months notice (i wouldn't want to fight this and hang around till the end of the tenancy agreement as it will be a most unpleasant stay). But insist on all the compensation you can get: ie the agency fee you paid back (for this place and the next place), definitely your entire deposit, the amount for this current move aswell as the next move, and definitely the difference in rent you will have to pay for this place and the next (so if this place says costs you $5k and the next place costs you $8K, then you should demand $3K back for the next 2 years...) - don't be soft, you are the one that is being inconvenienced BIG time... so stay strong and make sure you are well compensated.

Please keep us updated on how you go! Would be interested to see how things pan out. Good luck!!!

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Post by macaroonie » Mon, 25 Jan 2010 10:01 am


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Post by x9200 » Mon, 25 Jan 2010 10:41 am

macaroonie wrote:difference in rent you will have to pay for this place and the next (so if this place says costs you $5k and the next place costs you $8K, then you should demand $3K back for the next 2 years...)
Careful....It has to be reasonable so similar size/standard/area and I do not think you will get any cover for the period exceeding the original TA.

Edited: having a 2nd thought... actually he may get something if the circumstances are such that the minimal allowed renting period (as per actual marked situation) significantly exceeds the period covered by the current TA. Still this is pretty much undefined area so it is better to be extra cautious.
Last edited by x9200 on Mon, 25 Jan 2010 10:54 am, edited 1 time in total.

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Re: Landlord Selling Unit, What Can Tenant Do?

Post by Saint » Mon, 25 Jan 2010 10:48 am

therat wrote:quote="Saint"]
x9200 wrote: That is not correct especially if the TA is legal and the Stamp Duty has been paid. In these cases the TA automatically transfers to the new owner who has to honour the terms of the contract to the full.
Not such thing as automatically transfers to the new owner unless they exercise OTP stated sale with tenancy. Which they agree to take over the TA/

Why should the new owner force to take over the TA if they does not want. The most they look for another unit.
Deal OFF
I'm currently in the same situation and we've been informed that our TA has to be transferred to the new owner by law unless an appropiate compensation package can be agreed. Do remember you pay stamp duty which is based on the rental amount and lenght of TA.

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