Housing/lease situation

[NLSoldier]

I currently live with 3 other guys in a rental house. We moved in last sept and are moving out at the end of may b/c the house is used for weekly vacation rental in the summer.

We are however, planning on moving back in next sept. We signed a new lease for next year about a month ago. And about two weeks ago our landlord told us she was putting the house up for sale.

The landlord is like a 30 year old chick that doesnt seem to have much of a clue about what she is doing. She is probably selling the house due to being upside down on it or being busto in some other investment. (Other examples of cluelessness include never ever showing up to check on the house even though she said she would every month and sometimes even calls to give us our 24 hr warning that she is coming, along with stuff liek the orig. lease being really crappy and have such careless mistakes as the wrong year written down in the date portion of it.)

The house is really new (built in 05) and we really like the location and definately want to live here again next year.

When she called me to tell me she was putting the house on the market, she told me that our lease will go with the house, so the only thing that should change for us is having a new landlord.

Today I talked to her and she was asking about our renters insurance because she required us to get it in the fall, but she seemed to be saying we should cancel it for the summer because the new landlord may want us to get different insurance when they draw up a new lease after the sale.

I was like "wtf why would there be a new lease, you said the lease is transfered along with the house" and she is like "yeah it is, but they might want to change things, etc"

so I respond with "so how do we know they arent going to just do away with the lease entirely, change our rent amount, etc?"

and she goes back to "the lease is transfered with the house, you are still guranteed to be able to live here, but they might want to change the terms of the lease"

and I again am like "wtf, if they can change the terms than it doesnt sound like anything is guranteed for us..."

basically she just kept going back and forth, first saying that our existing lease will still be relevent and our spot is guranteed, adn then saying the new owner will do a new lease and might change things.

Any of you guys have experience with this type of thing?

I guess the main question is, if we have a signed lease, is the new owner forced to uphold its terms when the house is sold?

And if not, how worried should we be that the new owner will either make drastic changes or not let us live here at all.

I cant think of too much other stuff to add, but let me know if I need to clarify anything to make my question more answerable.

Thanks

[gilper]

[ QUOTE ]
I guess the main question is, if we have a signed lease, is the new owner forced to uphold its terms when the house is sold?

[/ QUOTE ]

Yes.

I would make sure the lease is correct. If dates or years are wrong then you may have issues.

[MissT74]

"I guess the main question is, if we have a signed lease, is the new owner forced to uphold its terms when the house is sold?"

NO, not unless it's part of the contract which SHE would have to put in it, and it doesn't sound like she either a. would or b. knows about.

I would be worried, only if you think the house will sell. If it sells, the new owner can (and should!) call the shots.

I am not a real estate agent, but I did stay at a Best Western last night.

T

[IggyWH]

I really think this varies from state to state. You probably want to contact someone in your state that is versed in renters rights.

[SackUp]

The lease typically runs with the house. Therefore, nothing in the terms of the lease should change. The new owner buys the house subject to the terms of the lease - just like any other encumbrance on the house (easement, etc.)

Just make sure there is no funky clause in the lease, which cancel the lease in the event of a sale and timely notice or something like that (even then you may have an argument to get around this as it is probably against public policy).

Most leases can be fairly straight forward - read it and see if it says anything about the sale or transfer of the property by the owner. If not, then there should not be any problems.

[jaydub]

[ QUOTE ]
The lease typically runs with the house. Therefore, nothing in the terms of the lease should change. The new owner buys the house subject to the terms of the lease - just like any other encumbrance on the house (easement, etc.)

Just make sure there is no funky clause in the lease, which cancel the lease in the event of a sale and timely notice or something like that (even then you may have an argument to get around this as it is probably against public policy).

Most leases can be fairly straight forward - read it and see if it says anything about the sale or transfer of the property by the owner. If not, then there should not be any problems.

[/ QUOTE ]

I will add since you suspect she is upside down, a foreclosure is the exception to this general rule. The bank can and will kick you out if they foreclose.

J

[RayPowers]

Obvious Question: Why not try to buy it from her?

Ray

[devilbiss]

I'm a realtor in Minnesota and according to our state laws the lease will not be terminated. The buyer shall buy the property subject to any existing leases.

Edit - may be different depending on where you live.

[SomethingClever]

I used to rent an apartment on the backside of a mansion down in Pasadena. When I moved in, the place was for sale, so I asked the owner what would happen if he sold.

He said that the house wouldn't sell, it was on the market "at a ridiculous price" just to see if anyone would bite.

Well, someone bought the house. A guy that worked for the same company I did (lol).

The terms of the lease would have remained the same, but I used it as an excuse to get out there early.

Edit: I think you should GTFO while you have a chance, Soiler.

Having a POd, incompetent landlord doesn't sound like good times.

[Gomez]

This is what i learned from reading your post.

Renting a new house to 4 college students is ---EV.