Q: We are looking to purchase a single-family home that is currently occupied by renters. (college students) The current lease expires 25 July. What happens to this lease if we buy property in March? Is lease still enforceable until July? Does lease go with house? Or is it null in void at time of sale since landlord of record is no longer owner? We would like to have lease continue, as the rental money was part of our buying decision, just not sure of the legality.(Pittsburgh, PA)
A: What does your sales agreement with the seller say on this? Language addressing the renters should be included in the sales agreement, normally referred to as assignability. Also, what does the lease agreement between the current owner and the tenants say regarding a sale of the premises, if anything? If you don’t want them to remain, and they have no lease, they are month-to-month tenants and you are probably stuck with them 30 days. If you want them to remain, and they feel the same, the lease will be honored unless the sales agreement and lease state to the contrary. Most leases and most sales agreements have language which addresses assignability of the lease.