New Hampshire Landlord/Tenant Lease Laws

Drew MacDermott · 2014-08-27T15:27:00-07:00

Hello BP! I have a personal rental question to pose those of you in the New Hampshire area. My fiancee and I are moving to NH in four days, on Aug. 31. We now have a predicament with an unnamed apartment complex regarding our lease. At the end of June, we signed a lease with a $500 deposit to hold a 2BR apartment. It is a great apartment and we were very excited when we landed this unit. We then began a 2-month cross-country trip, one of our dreams, through July and August before starting our new jobs in New Hampshire in September. On August 15, the property manager informed us they were bought out and we would have to sign a new lease before moving in. They told me in an email the original lease will not stand because the company got bought out before our move-in date and therefore we are required to sign a new lease.On August 27, we received an email stating the previous tenant in our unit had a sudden employment change and now wants to stay. In both the original and new leases, a 60-day notice is required before moving out. In our scenario, the previous tenant must have given a 60-day notice in order for the unit to be available to us. The property manager has asked us to move into a Studio Apartment until they resolve the situation. We have also sent a $1652 check as payment for the day of Aug 31 and the month of September last week. It has not been cashed yet. We are all-in currently at $2152. 1) Does the new property manager have to uphold the original lease?2) Would the new tenant have any rights to now stay in the unit, given the 60-day notice?3) Would you have any other suggestions?Thanks for any help!!Drew

Ann Bellamy

Lender · Tyngsboro, MA · Member since 2009 · 3k+ posts · 2k+ votes

12y

I have received advice from one of my NH attorneys that the new landlord does not have to honor the lease, because the agreement was between a tenant and a person or entity that now doesn't own the property and therefore has no ability to enforce the contract. Having said that, I've honored leases in the name of good relations with my newly-acquired tenants. (all my rentals are in NH, not in MA as my location indicates)

However, laws have changed, and it would be in your best interest to consult an attorney. Even if the complex is within the law, they may not want the hassle and will possibly honor the old lease.

However, the bigger issue is the availability. Does old tenant have the right to stay? There is no way to know that from the amount of information given. However, as a practical matter, if he chooses to stay, it is 45-60 days to evict him, so whether he has the right or not may be moot, because he'll likely be there for another couple of months. The management company is fully aware of that.

So, if they don't have your apartment, right or wrong, they don't have it. Assuming there is nothing else you want to move into in 4 days notice, I'd move into the studio and negotiate the heck out of it. Ask for free rent for the two months. You won't probably get it, but you should get a substantially reduced rate (below the studio rate) and free storage for the rest of your stuff. this is a major inconvenience and you should be compensated, they rented you something they didn't have.

If you choose to go to court it will cost them time and energy and legal and they don't probably want the hassle. Neither do you. Not trying to say they are in the right here, just approaching this from the lemonade out of lemons standpoint and give you a suggestion. Get a discount, pocket the difference and work it hard for concessions. Most complexes have vacancies, especially studios.

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Greg PowersPro Member

Real Estate Agent · Manchester, NH · Member since 2013 · 120 posts · 159 votes

12y

I'm not a lawyer, but I think the question hinges not on the fact that someone bought the complex and now doesn't have to honor existing leases--I think they would--but the fact that the contract is valid from the date of move-in, rather than the date it was signed. Since the complex changed hands before the effective date of the contract, the contract is void.

If that's correct, then the property manager can let the existing tenant stay since there is no valid lease between you and the new owner.

You could talk to a lawyer to nail this down, but Ann's ultimately right--raise a stink and negotiate what you can.

Good luck!

1 Reply

Dave Toelkes

Investor · Pawleys Island, SC · Member since 2008 · 1k+ posts · 837 votes

12y

I would argue (in the absence of any actual knowledge of NH law on this subject) that the effective date of the lease is the date the lease agreement was signed by both parties. The language of the lease may establish the performance period of the lease as beginning at a future date for purposes of establishing the starting date or move in date for the new tenant and also to establish the beginning date for the tenant's obligation to pay rent.

I would further argue that consideration was exchanged when a deposit was accepted and that the new tenants have an enforceable contract. Since I take the position that the lease was in effect prior to the change of ownership, I further maintain that the lease agreement conveyed with the property, and is binding upon the new owner. Even if the new owner is not in actual possession of the deposit at this time, I would argue that the new owner is liable for the deposit should the applicants demand a refund rather than pursue further efforts to enforce their agreement.

Not an attorney, just how I see it.

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Drew MacDermott

OP

Investor · Portland, ME · Member since 2011 · 81 posts · 27 votes

11y

Thanks for all your responses! I wanted to reply to you all, even if it has been a few months since we settled down after our fiasco in late August.

The property management company would not back down from moving the tenants out for us, most likely to save the time and energy of an eviction, and the fact that the lease may not be valid as @Ann Bellamy and @Greg Powers mention.

With four days before we moved across the Northeast, there was little time to find another 2-br. There were also not many apartments that met the expectations for both myself and my fiance. Of course, I'm not so picky. I contacted another complex we liked for availability, but they had nothing at that time. Our options were slim.

We attempted to negotiate with the property management company for 50% studio rent, free storage while in the studio, and help moving once a 2-br opened up. Our case went up to the "Regional Manager" in New York City. After all was said and done, we only got free storage out of the deal and stayed in the studio for only 6 weeks while we waited for a 2-br to open in the same complex. The local property manager was gracious enough to originally offer to help look for an apartment for us at another location if we wanted, however this complex's location is perfect for us and we wanted to stay, even if it meant waiting for a 2-br.

This is a great reminder for both tenants and landlords that any number of situations and surprises can arise during a lease. The best course of action for both parties is to follow the local and state laws. As a landlord, it doesn't hurt to offer your sympathy and a little help in a situation like this. As a tenant, asking for a discount or concessions never hurts. The answer is always "No" until you ask. Ultimately, we were pleased with the outcome and grateful for the help the property manager offered during our entire transition to New Hampshire.

Thanks again for your responses and insight!

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New Hampshire Landlord/Tenant Lease Laws

New Hampshire Landlord/Tenant Lease Laws

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