A Sold Home and Tenants Won't Move?

Question

Hi all, I've got an interesting scenario that I wanted to throw on the forums. I will be consulting with an attorney, but just curious if any other sellers have had this issue. A property owner has an old lease that expired months ago, but the tenants have decided to stay there without renewing or paying. The property owner has sold the property to another investor. Will this new investor have any rights to the home? If they don't accept "cash for keys," any idea for a non-legal route? Besides consulting a lawyer, what advice could you give for this situation? Thank you for the time. I hope others can get value from these responses.

Dane Larsen · Answer

Thank you all for the help! I appreciate the advise. Thankfully we are at the early stages of the sale and aren't near closing, so notices can be given. I'll be meeting with the attorney on Monday.

Kyle J. · Answer

If they won’t accept an offer of cash-for-keys, there’s really only one way to recover possession of a property from tenants who refuse to leave voluntarily. The new owner will need to file for eviction.

Allen L. · Answer

It sounds like the existing tenants just want to ride it out as long as they can before they get evicted. If WA is anything like CA, the owner has a right to move in and has a right to evict for non-payment, but you would have to follow the book by the letter. Whether it’s a cash-for-keys type of deal or eviction, it’s best to get help from an attorney to get them out in this case.

Gabriel Arambula · Answer

@Dane Larsen I have a similar transaction... One of my Listings was tenant occupied. COVID 19 has currently altered landlords rights a tad. In order to serve a “Notice of Termination of Tenancy” In the state of CA, the the property owner must have “Just Cause.” A contract to sell the subject property to an individual intending to occupy the property qualifies as “Just Cause.” If the tenant fails to vacate the property in accordance with the Notice of Termination of Tenancy, the property owner can schedule an appointment with the Sheriffs department to have the tenant removed from the property. Due to Covid 19 there has been a moratorium on Evictions. A “Notice of Termination of Tenancy “ is different than an Eviction.

It may be too late to serve a Notice to Terminate Tenancy if your buyer has already closed on the property. I’d call an attorney to clarify options. Most tenants who aren’t cooperative, remain uncooperative.

Michael Noto · Answer

@Kyle J. Put it perfectly

A Sold Home and Tenants Won't Move?

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