Landlord Selling Unit, What Can Tenant Do?

[ScoobyDoes]

I'm surprised an agent wouldn't know about it if it were standard practice and the law, but ok.

Don't be tooooooo surprised about that, we had one last week give us the wrong % of property tax to be paid as an owner/occupier.

[jjk]

Don't be tooooooo surprised about that, we had one last week give us the wrong % of property tax to be paid as an owner/occupier.

I think, some agents just don't know these stuff. These "less-than-serious" ones are only interested in selling/renting it out to get commission. That said, I've also come across serious and good agents who know all these info with certainty. It's like general knowledge, whether one bothers to find out about it or not.

Ok, so I should be expecting some legal document, stating that deposit and TA is transferred, new landlord's account.....okie.

[Saint]

Thought I'd bring this thread back up as I've just found out our LL has sold or apartment. No surprise their as had quite a few viewings. Where I need your advise and comments is that our lease is up at the end of September and we had irtually already decided not to renew and find a bigger place. As the sale completion will take a couple of months we now intend to move out on this completion date.

As far as I can see there's we are doing wrong in terms of the TA conditions as that TA is actually technically broken and therefore void.

Is this a valid statement?

[sundaymorningstaple]

Saint, I'm not 100% positive, but I believe the current T&A is valid EVEN if the building/unit is sold. The new owner has to allow you to continue to remain to the end of your lease. The T&A survives the transfer of ownership as far as I know. Maybe somebody else can confirm this. There is a thread somewhere here regard this very thing but for the life of me I cannot find it at the moment.

[Saint]

Saint, I'm not 100% positive, but I believe the current T&A is valid EVEN if the building/unit is sold. The new owner has to allow you to continue to remain to the end of your lease. The T&A survives the transfer of ownership as far as I know. Maybe somebody else can confirm this. There is a thread somewhere here regard this very thing but for the life of me I cannot find it at the moment.

I agree that the TA has to be transfered if the tenant so wishes but as my TA is with the current named LL this will have to be cancelled and a new TA drawn up with new owner as LL and signed for remainder of lease. Therefore I'll just say I don't want to sign new TA and will be vacating the apartment.

I read earlier in the thread that someone didn't get a new contract drawn up with the new owners as LL but just continued with current TA. To me that's just a bit crazy!

[x9200]

I agree that the TA has to be transfered if the tenant so wishes but as my TA is with the current named LL this will have to be cancelled and a new TA drawn up with new owner as LL and signed for remainder of lease. Therefore I'll just say I don't want to sign new TA and will be vacating the apartment.

I read earlier in the thread that someone didn't get a new contract drawn up with the new owners as LL but just continued with current TA. To me that's just a bit crazy!

For me its not that much as you can not legally force the tenant to sign the TA with the new owner. I read all these discussions but I am still not really convinced why the current TA with the previous owner should be invalid. The problems lays on the side of the old owner to fulfill his obligations and that's it. The new one can kick you out the apartment any time but the old one is responsible in such event and should provide you with compensation.
Anyway, I think is has nothing to do with the extension of the contract. You may not extend it and even can not extend it in the current form as the previous landlord is not the owner of the property any longer.

[therat]

I agree that the TA has to be transfered if the tenant so wishes but as my TA is with the current named LL this will have to be cancelled and a new TA drawn up with new owner as LL and signed for remainder of lease. Therefore I'll just say I don't want to sign new TA and will be vacating the apartment.

I read earlier in the thread that someone didn't get a new contract drawn up with the new owners as LL but just continued with current TA. To me that's just a bit crazy!

TA will be transferred automatic.
No need to cancel existing TA and drawn a new TA with new LL name.

Don't need tenant agreement.
If the tenant terminate the TA before the contract end, then TA term and conditional will come in.

[Saint]

I agree that the TA has to be transfered if the tenant so wishes but as my TA is with the current named LL this will have to be cancelled and a new TA drawn up with new owner as LL and signed for remainder of lease. Therefore I'll just say I don't want to sign new TA and will be vacating the apartment.

I read earlier in the thread that someone didn't get a new contract drawn up with the new owners as LL but just continued with current TA. To me that's just a bit crazy!

TA will be transferred automatic.
No need to cancel existing TA and drawn a new TA with new LL name.

Don't need tenant agreement.
If the tenant terminate the TA before the contract end, then TA term and conditional will come in.

Well I'll be insisting for a new TA will the new owner's name on it. Why would you not want to get a new TA. The old one is an agreement between you and the previous named owner who will not be thw legal owner of the property.

[therat]

Well I'll be insisting for a new TA will the new owner's name on it. Why would you not want to get a new TA. The old one is an agreement between you and the previous named owner who will not be thw legal owner of the property.

If I'm the buyer, I will check with my lawyer.

I had exercise the OTP as purchase with tenancy and the present tenant want to terminate existing TA and re-draw a new TA.

I don't think this purchase is consider as purchase with tenancy.

[Splatted]

Thanks brittanny for your usual care of the details and comprehensive overview. I have one question though:

V. important: read your tenancy document and note whether there is an assignment/successors benefit clause. It is a very crucial term in a contract to bind the successor-in-title:
- if there is a provision then yes the new landlord is bound to observe/perform the contract

How any clause in the TA between the tenant and the old landlord can effectively bond a third party which is the new landlord? It seem unreasonable.

Australia (Victoria) follows this system. You get these hotel chains refurbishing old office buildings in the CBD (eg Hotel Ibis), and then sell off all the rooms as studio apartments.

All the rooms are sold, already 'leased out' for 10 years with an optional extra 5 years. So if you buy one you get a guaranteed 7% return on investment as rent, the hotel recoups the capital cost of getting, furnishing, and fitting the building, and full control of the building for up to 15 years where they can also earn money.

Actually, it's an ingenious method of raising huge capital without having rely on banks long-term. and the ongoing expense is fixed rather than variable.

[Girl_Next_Door]

My lease is expiring soon and I know my landlord is trying very hard to sell off the property (there are viewings every week for almost a month!).

Anyway, I would like to renew the lease but I would like to know what are the things I need to pay extra attention, in the new lease, in the event that the property is sold?

[x9200]

My lease is expiring soon and I know my landlord is trying very hard to sell off the property (there are viewings every week for almost a month!).

Anyway, I would like to renew the lease but I would like to know what are the things I need to pay extra attention, in the new lease, in the event that the property is sold?

Have no option to sell for the landlord in you TA so he/she can not terminate the contract because of the sell. If the property is relatively new you may allow for enbloc sale.

[larsson]

Hello I have posted this in another thread but i saw this topic and find it more relevant to post it here..Hoping for some more information about my situation..

I have signed a 2-year contract to rent the flat last August 2009. So i paid the agent fee of 1 month since it was on a 2-year contract.

A few days ago, the landlord called me saying he wants to sell his flat and he only intends for us to finish the 1-year + approx. 2 months instead and we need to move out if a buyer wants to buy it. We are now on our 9th month of stay in the flat..

The TA states that the premises shall be sold subject to the tenancy..

Now, my agent called me saying the landlord should bear the cost for refunding the half-months agent fee, however, since he only intends to let us move out after 1 year and 2 months, the agent said the landlord is not bound to pay the refund for the agent fee anymore since it is "more than one year of us staying there already" by that time. And the landlord also mentioned if nobody buys the house, then we can stay there longer but he said he will increase the rental for a few more hundred dollars after our one year!!

I think something is really not right here.. it's like he can just kick us out anytime without taking responsibility of even at least paying us back the halfmonth's agent fee we have paid, and he has the freedom of increasing the rent when we have signed a contract for a specific amount supposed to be good for 2 years..

That's why i want to know what can i do and what are my rights and the compensation the landlord has to bear for my case... coz it seems my agent is not really helpful at all. I hope someone could help me here...

Thank you.

[ScoobyDoes]

That's why i want to know what can i do and what are my rights and the compensation the landlord has to bear for my case... coz it seems my agent is not really helpful at all. I hope someone could help me here...

Thank you.

Everything has already been answered a dozen times in the very thread. Your Landlord cannot kick you out just because the unit is sold, your TA is a valid contract for the length of the lease.

The terms of your contract will be valid until August 2011.

If he wants you out early then he also has to compensate you in return. No free lunch in this world.

This is the kind of sh!t that pisses me obout a lot of the landlords here.




So, Saint..... it's a case of live-by-the-sword die-by-the-sword. If we say on one side (like this case, and mine before) that the TA sticks regardless of what the MF landlord does, so should it work the other way round.

My TA and most of the other people's gets transferred with the sale of a unit without needing a new TA......i'm buggered if i'm going to pay another $2-300 in bl@@dy stamp duties.

[Saint]

So, Saint..... it's a case of live-by-the-sword die-by-the-sword. If we say on one side (like this case, and mine before) that the TA sticks regardless of what the MF landlord does, so should it work the other way round.

My TA and most of the other people's gets transferred with the sale of a unit without needing a new TA......i'm buggered if i'm going to pay another $2-300 in bl@@dy stamp duties.

I'm totally for having the TA transferred with the sale but what's the point of having a legal document that is factually incorrect? The funny things is that we'd already decided that we aren't going to renew in September so will be giving notice to current owner and ending TA with new owner!