In the world of real estate, selling rental properties is a common event. Whether you’re a landlord considering selling your property in or a tenant living in one, understanding tenant rights during this transition is crucial.
This article will outline key points from the Florida Statutes, ensuring that landlords and tenants understand the rights tenants have when an owner decides to sell their property.
Your Lease Agreement Stands
For Tenants:
If you’re renting a condo, say at Downtown Dadeland in Kendall, and your lease runs from January 1, 2024, to December 31, 2024, your lease remains valid even if the property is sold mid-year. As per Florida Statute § 83.59, the new owner must honor your lease terms. So, you can stay put until the lease ends, as long as you follow its conditions.
For Landlords:
When you sell a property with an existing lease, the new owner inherits that lease. This means they must allow the tenant to stay until the lease expires, assuming the tenant is meeting all the lease requirements.
Proper Notice for Showings
For Tenants:
If your landlord is showing the property to potential buyers, Florida law (Florida Statute § 83.53) requires they give you reasonable notice. Typically, this should be at least 12 hours in advance. Showings should also be at reasonable times to respect your privacy and ensure you can enjoy your home.
For Landlords:
Ensure you provide tenants with at least 12 hours' notice before any showings. This not only respects their privacy but also keeps you compliant with Florida law. Being considerate about timing can also foster a cooperative relationship, which is beneficial during the sale process.
Security Deposits and Prepaid Rent
For Tenants:
Worried about your security deposit? Florida Statute § 83.49(7) ensures that if the property is sold, the current landlord must transfer your security deposit and any prepaid rent to the new owner, or return them to you. The new owner then becomes responsible for these funds.
For Landlords:
When selling, you must transfer any held security deposits and prepaid rent to the new owner or return them to the tenant. This ensures a smooth handover and compliance with legal obligations, protecting you from potential disputes.
Early Termination of Lease
For Tenants:
In some rare cases, the new owner might want to live in the property or make major renovations that require it to be vacant. If this happens, they must negotiate directly with you. They might offer a financial incentive for you to move out early, but you don’t have to accept unless it works for you.
For Landlords:
If the buyer wants to occupy the property immediately or renovate, they will need to negotiate with the tenant. Offering a financial incentive for early termination might be necessary, but the tenant isn’t obligated to agree. Clear communication and fair offers are key.
Month-to-Month Tenancies
For Tenants:
If you’re renting month-to-month, things might be a bit different. According to Florida Statute § 83.57, either you or the landlord can end the tenancy with a 15-day written notice before the end of any monthly period. This means the new owner can give this notice to legally end your tenancy if they need to.
For Landlords:
For month-to-month leases, the new owner can terminate the lease with a 15-day written notice before the end of any monthly period. This provides more flexibility but should be communicated clearly to the tenant to ensure a smooth transition.
What If There's No Written Lease?
If there is no written lease, Florida landlord-tenant laws still apply. This means the rights and obligations of both parties are governed by the same statutes, ensuring protection and fairness. However, it is best to have a written lease in place.
A written lease clearly outlines the terms of the tenancy, such as rent amount, duration, and responsibilities of both parties. This can prevent misunderstandings and disputes, providing a clear reference if issues arise.
Relocation Assistance
For Tenants:
While not required by Florida law, some landlords or new owners may offer relocation assistance to help you move. This can include financial help or assistance in finding a new place. If offered, make sure to get the terms in writing.
For Landlords:
Offering relocation assistance, though not mandatory, can be a goodwill gesture that eases the transition for tenants and helps maintain a positive relationship. Clearly document any offers to avoid misunderstandings.
Finally, for landlords and tenants, understanding these key points can help ensure a smooth transition when a rental property is sold. The lease agreement remains valid, privacy must be respected during showings, and security deposits are protected. By knowing and respecting these rights and responsibilities, both parties can navigate the sale process confidently.
View Florida CHAPTER 83 LANDLORD AND TENANT Statue
For more detailed information, you can refer directly to the Florida Statutes mentioned, or if issues arise, it's best to consult with a real estate attorney for guidance.
At My Casitas Miami, we know some excellent real estate attorneys who can help you navigate any complexities that may come up.
Feel free to reach out with any questions or for further assistance. At My Casitas Miami, we're here to help you navigate the Miami real estate landscape with confidence.
About the Author: Liz Kenneally is a seasoned real estate agent in Miami with extensive experience in the city's dynamic market. Specializing in coveted neighborhoods such as Coral Gables, Dadeland, Continental Park, East Kendall, Palmetto Bay, Pinecrest, South Miami, and The Falls, Liz ensures smooth transactions for her diverse clientele. Fluent in both English and Spanish, she can be contacted at 786-423-3348 or through the EMAIL AGENT form provided alongside this blog.