If you are a tenant and want to know what happens if the owner sells your building, then read the article below for an idea on how to handle this. The sale of the building may affect the rights of you, the tenant. If you do not have a written lease agreement, your old form of the tenancy ends. However, you still have rights as a tenant. The new owner must leave you in the home for at least the time that you have actually paid for or for the duration of the lease. You and the new owner can make a new agreement. If the new owner accepts the rent, then you start a new tenancy with him.
The Rental Agreement
If you have a rental agreement, you probably have the right to stay in the home until the term of your rental agreement ends. Read the rental agreement to see if it stipulates anything different. If the contract period is for more than two years, you should register that contract with the county prior to the sale to help protect your rights under the rental agreement. This rule also applies if you have a long rental agreement period without a specific expiration date.
Does the landlord have to give me a final eviction notice before I can be evicted? Yes. Even if you are an at-will tenant (without a rental agreement), the new owner must give you a 30- or 7-day written notice, unless the old owner has already given you the notice.
The Foreclosure Aspect
What if your building is in foreclosure? From May 2009 through December 2014, a federal law established additional protections for tenants living in buildings under foreclosure. But the validity of this law has already ended. Some state laws give tenants of repossessed buildings some advance notice prerogatives. If the bank – or lender – seizes your landlord’s building, the tenant must be notified in writing of the change in ownership. However, this notice is not necessary until the lender has obtained a final judgment in the foreclosure case. A typical foreclosure – from initial notice to final court judgment – can take several months and sometimes years.
The property owner remains responsible for the building and its tenants during the foreclosure process. The original owner can execute an eviction until the court grants a change of ownership through the foreclosure action. At that point, the bank assumes responsibilities for the building and its tenants – along with the power to vacate. The bank is required to serve tenants written notice of the court’s foreclosure order. The notice can be mailed, served by the sheriff, or by posting at the entrance of the building. The bank can bring an eviction action in court 21 days (or more) after giving that notice. Usually, the bank then sells the building to a new owner, who will then become your tenant if you are still living in the building.
Tenant Rights Conclusion
It is important to know your rights as a tenant in every aspect of the tenant/landlord relationship. You would never want to be caught off-guard and don’t know what to do. If your building is run by a Denver Property Management company, then you would approach the office and ask questions.