What Happens When Home Buyers Want To Occupy A Tenanted Property They Are Buying
You are selling a property with tenants and those buying the real estate want to reside in the property.
As long as the tenants are on a month to month rental agreement the following applies, leases are a different situation which I will discuss in a subsequent video.
Only the landlord can serve notice to the tenants, in this case that is the home seller. As the buyer does not yet own the property they can not provide notice to the tenant.
The home seller/landlord can provide written notice that the tenants will need to vacate for the following reasons:
-the new owners or direct family member (parent, child of the buyer or buyer's spouse) intend to reside in the property
-the new owners want to use the rental unit for another purpose which includes renovations requiring vacancy, convert to a strata property unit, convert to a non residential use such as a shop or convert to a caretaker's premise
The tenant is entitled to 2 months notice effective the start of the next rental period (usually the 1st of the month). Once delivered the tenant may give 10 days notice back the landlord that they are vacating and are to be returned the remaining portion of the rent for that month.
This can be frustrating for sellers as they will not receive any rental income for the remaining period of ownership.
The landlord must also provide one months compensation. This can be done by not charging rent for the last month or if the rent is already paid by reimbursing one months rent.