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Updated about 15 years ago,

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Larry Stegall
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Feel Like a Landlord Swindle

Larry Stegall
Posted

My wife and I rented a home from a couple in April 2009. We signed a one-year lease. First part of November the landlord informed us we either needed to renew the lease for an additional year by the end of January or he was going to sell the property to someone. We also were given the option to buy it. We chose not to purchase it.
We found a home we really liked, and made an offer in December 2009. I spoke to the landlord and asked to be released. He stated that he could not because the purchasers would not close on the property until May 2010. He stated we had to meet our contract obligations. The seller of the home then in turn agreed to "buy us out" of our lease by paying 3 moths rent we had left. They issued him a check for the amount. They will also give him a 1099 for the amount to show the expense.
The landlord asked us if we could vacate early as the new owner might occupy in mid-March. He stated he would rebate us back 34 days. We agreed we could be out by the end of February. Then he informed us that he was going to move the sale up to Feb 5, and if we were not clear, he would transfer our lease in the sale contract. It would be up to the new owner. He stated we would have to turn back on all the utilities otherwise the new owner would say we abandoned the property and keep all of the deposit and the rent he was going to rebate.
We vacated the property and cleared. Now he states that since the funds came from the seller that it is capital gains and he does not know if he can refund the rent. What can I do? I think this character has lied and swindled me.
Sad part is that if I had just walked away, I would have only lost my deposit and the two weeks of rent until he sold the property. I am looking at a $2,500 loss here.

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