Learned rental home is for sale, after we moved in - what can/should we do?
March 23, 2011 12:30 PM Subscribe
We just found out our new rental house has been on the market and will be shown soon, three weeks into our new month-to-month agreement. What should we do?
A few weeks ago, my daughter and I moved into a month-to-month rental home with my girlfriend and her two kids, here in Oregon. This morning, the property management company placed a 24-hour notice on our front door to enter the premises and when we called to ask what was happening, we learned for the first time that the house has been on the market and is being shown now.
The property manager has, over the phone, acknowledged and apologized for their failure to notify us that the house had been on the market at the time we signed the rental agreement. For some reason, the agent we spoke with also assured us that new owner will continue renting (perhaps the potential new owner has other properties managed by them?). This smells a little fishy to me.
The first month's rent was free, but we paid a hefty deposit when we moved in and we owe a bit more on the deposit due to an additional pet, which is due when we pay the second months rent. There is a list of repair and cleaning items that were promised but have not been dealt with yet.
Had we known that the house was going to be sold we would not have taken it, but if for some strange reason we had still wanted it, we would have chosen the lease option over our current month-to-month agreement.
Our previous homes are rented out and would be too small for everyone anyway. We have three teenagers, a few pets, very busy lives and almost no savings. What can or should we do? I have a feeling we are helpless and have no recourse.
A few weeks ago, my daughter and I moved into a month-to-month rental home with my girlfriend and her two kids, here in Oregon. This morning, the property management company placed a 24-hour notice on our front door to enter the premises and when we called to ask what was happening, we learned for the first time that the house has been on the market and is being shown now.
The property manager has, over the phone, acknowledged and apologized for their failure to notify us that the house had been on the market at the time we signed the rental agreement. For some reason, the agent we spoke with also assured us that new owner will continue renting (perhaps the potential new owner has other properties managed by them?). This smells a little fishy to me.
The first month's rent was free, but we paid a hefty deposit when we moved in and we owe a bit more on the deposit due to an additional pet, which is due when we pay the second months rent. There is a list of repair and cleaning items that were promised but have not been dealt with yet.
Had we known that the house was going to be sold we would not have taken it, but if for some strange reason we had still wanted it, we would have chosen the lease option over our current month-to-month agreement.
Our previous homes are rented out and would be too small for everyone anyway. We have three teenagers, a few pets, very busy lives and almost no savings. What can or should we do? I have a feeling we are helpless and have no recourse.
Ask if you can convert your month-to-month agreement to a year-long lease? If they balk, it will likely be due to the fact that it will narrow the potential buyers, which will at least give you more information to work with regarding how likely it is that your month-to-month agreement will continue with new owners.
posted by amelioration at 12:52 PM on March 23, 2011 [1 favorite]
posted by amelioration at 12:52 PM on March 23, 2011 [1 favorite]
For some reason, the agent we spoke with also assured us that new owner will continue renting (perhaps the potential new owner has other properties managed by them?).
Check with a lawyer. I've always been told that your lease has to be honored even if the property is sold. So, they can't terminate the lease - the sale it has no real impact on you, other than who your landlord is.
posted by NotMyselfRightNow at 12:57 PM on March 23, 2011
Check with a lawyer. I've always been told that your lease has to be honored even if the property is sold. So, they can't terminate the lease - the sale it has no real impact on you, other than who your landlord is.
posted by NotMyselfRightNow at 12:57 PM on March 23, 2011
Check with a lawyer. I've always been told that your lease has to be honored even if the property is sold. So, they can't terminate the lease - the sale it has no real impact on you, other than who your landlord is.
The problem the OP has is that their lease is month-to-month, so a new owner could kick them out pretty quickly.
posted by Tomorrowful at 12:58 PM on March 23, 2011
The problem the OP has is that their lease is month-to-month, so a new owner could kick them out pretty quickly.
posted by Tomorrowful at 12:58 PM on March 23, 2011
The problem the OP has is that their lease is month-to-month, so a new owner could kick them out pretty quickly.
Agreed, but they could be kicked out just as quickly by the old owner.
I'm not saying this wasn't a dick move. I'd certainly like to have known it was on the market myself. But I don't think you got screwed in anyway, or that it was a shady dealing.
posted by NotMyselfRightNow at 1:01 PM on March 23, 2011
Agreed, but they could be kicked out just as quickly by the old owner.
I'm not saying this wasn't a dick move. I'd certainly like to have known it was on the market myself. But I don't think you got screwed in anyway, or that it was a shady dealing.
posted by NotMyselfRightNow at 1:01 PM on March 23, 2011
Depending on the real estate market in your area, you can wait and see what happens. If the rental market is soft, you may be able to move into a new house quickly. If you have a tight market, you should probably move or plan to move now. In a soft market, many landlords are willing to work out deals on deposits and may even lower the rent. We had our rent lowered in our last two rentals (last 3 years) by offering to do the grounds maintenance that had been part of the rent. One rent went from $2000 to $1500, our current rent went from $2000 to $1300. We also were able to get the deposit lowered by over half (one only $500, one $700). We donʻt have kids, but we do have cats. The cats have never been an issue. Both houses also let us have dogs, if we wanted. These are very nice houses, so we are not renting dumps.
My husband does the grounds maintenance and he does a very good job. If you want to go this route, it is really good and you can get a better house. (My husband also has a reputation as a great groundskeeper, not bad for a professional poet).
posted by fifilaru at 1:20 PM on March 23, 2011
My husband does the grounds maintenance and he does a very good job. If you want to go this route, it is really good and you can get a better house. (My husband also has a reputation as a great groundskeeper, not bad for a professional poet).
posted by fifilaru at 1:20 PM on March 23, 2011
"For some reason, the agent we spoke with also assured us that new owner will continue renting (perhaps the potential new owner has other properties managed by them?). This smells a little fishy to me."
Many rental property buyers DO prefer to buy with stable, paying tenants in place. Saves them the hassle of, you know, finding tenants.
Whether that's the case here I have no idea.
posted by Eyebrows McGee at 2:22 PM on March 23, 2011 [2 favorites]
Many rental property buyers DO prefer to buy with stable, paying tenants in place. Saves them the hassle of, you know, finding tenants.
Whether that's the case here I have no idea.
posted by Eyebrows McGee at 2:22 PM on March 23, 2011 [2 favorites]
Month-to-month renting is for people who don't want commitments -- on either side -- so I don't (delicately) have a clear idea why this is particularly distressing to you, even if you'd prefer to have known.
Next time, if you have plans to stay someplace, go with a lease. It may even be less expensive, because you're giving the landlord a commitment and letting them avoid the roughly 3 month average cost of obtaining a new one.
It's perfectly normal, especially in this distressed market, for rental properties to be transferred from one owner to another. It is very unlikely that the new owner will be looking to convert the home to personal use, because rentals are never in as good a condition as existing single-family homes, and there are plenty of other options in this market. I would ask the current owner or agent to keep you informed as to any developments so that you can have the maximum planning time -- but I wouldn't be at all surprised if the new owner simply continues your present arrangement.
posted by dhartung at 2:27 PM on March 23, 2011 [1 favorite]
Next time, if you have plans to stay someplace, go with a lease. It may even be less expensive, because you're giving the landlord a commitment and letting them avoid the roughly 3 month average cost of obtaining a new one.
It's perfectly normal, especially in this distressed market, for rental properties to be transferred from one owner to another. It is very unlikely that the new owner will be looking to convert the home to personal use, because rentals are never in as good a condition as existing single-family homes, and there are plenty of other options in this market. I would ask the current owner or agent to keep you informed as to any developments so that you can have the maximum planning time -- but I wouldn't be at all surprised if the new owner simply continues your present arrangement.
posted by dhartung at 2:27 PM on March 23, 2011 [1 favorite]
Best answer: I don't (delicately) have a clear idea why this is particularly distressing to you, even if you'd prefer to have known.
I suspect the answer is because of the hassle of having to keep the house "showable" and of having strangers walk through your home a couple of times a week.
What can or should we do? I have a feeling we are helpless and have no recourse.
Pretty much, you have no recourse. Even if you had a lease, you'd still have to put up with the showings so long as they gave proper notice. In some ways, you're in a better situation than if you had a lease, because you can up and leave on pretty short notice.
So, yeah, looking for a new place is probably your only option here. Or, put up with it, hope it sells quickly, and that the buyer will put a longer lease in place for you.
posted by anastasiav at 2:49 PM on March 23, 2011
I suspect the answer is because of the hassle of having to keep the house "showable" and of having strangers walk through your home a couple of times a week.
What can or should we do? I have a feeling we are helpless and have no recourse.
Pretty much, you have no recourse. Even if you had a lease, you'd still have to put up with the showings so long as they gave proper notice. In some ways, you're in a better situation than if you had a lease, because you can up and leave on pretty short notice.
So, yeah, looking for a new place is probably your only option here. Or, put up with it, hope it sells quickly, and that the buyer will put a longer lease in place for you.
posted by anastasiav at 2:49 PM on March 23, 2011
Best answer: This happened to us last year. Luckily the new owner was an investor so we were able to stay but there is no denying the annoyance & inconvenience of having strangers wander through our house every single weekend for over two months. After six weeks of the process, we confonted the agent about both our right to the 'quiet enjoyment' of the property and their failure to protect our possessions (they agent was at the door the whole time rather than keeping an eye on the potential buyers) and were able to get two weeks free rent out of it. If the selling process is extended, you may be able to come to a similar arrangement. It certainly reduced the pain of having to get up every freaking Saturday morning & clean the house.
posted by Wantok at 3:32 PM on March 23, 2011
posted by Wantok at 3:32 PM on March 23, 2011
Regarding visits because the place is for sale -call the local renters hotline?
I don't know about your jurisdiction, but anywhere I've ever rented placed limits on when the landlord could show the home, requiring written notice periods for specific times, etc.
IN all cases where I encountered this, there was never one where the landlord could simply bring whoever he wanted through what is currently YOUR HOME at any time he pleased - there was always procedure to be followed.
posted by TravellingDen at 4:49 PM on March 23, 2011 [1 favorite]
I don't know about your jurisdiction, but anywhere I've ever rented placed limits on when the landlord could show the home, requiring written notice periods for specific times, etc.
IN all cases where I encountered this, there was never one where the landlord could simply bring whoever he wanted through what is currently YOUR HOME at any time he pleased - there was always procedure to be followed.
posted by TravellingDen at 4:49 PM on March 23, 2011 [1 favorite]
Best answer: According to this page the new landlord can give a 30-day notice to vacate the building. However, you have to understand, that won't happen until after closing. And trust me, having been through this situation before in California, it takes a LONG TIME between showing and closing. "Showing" a house really means absolutely nothing. The house I was in sat on the market for about 5 years (they would bring in prospective buyers about twice a year, we never did anything special to clean the house) before a developer bought it and tore it down to make a townhouse complex. It's once someone puts in a bid and it's accepted that you can start thinking about having to move.
You can search local MLS listings online and see if your house is there and what the asking price is. That will give you a better idea of whether it will sell and how quickly.
I know it causes anxiety. As someone who has had traumatic house-moving experiences in the past, when I went through it I felt a lot of anxiety as well. You kind of just have to throw up your hands and let the chips fall where they may, and trust that you can handle it. Talk to your girlfriend and come up with a plan for what you will do if you get 30-day notice: will one of you be responsible for packing up everything and the other responsible for finding a new place? Maybe also talk to your landlord and just confirm that a new landlord has to give you 30-days notice to vacate the house once it's sold. Maybe see if you can get them to notify you if your landlord accepts a bid on the house so you get a little early notice. Once you feel a little bit more secure that you can handle it (which I'm sure you can), you can let go of some of that fear and uncertainty.
posted by sarahnade at 5:26 PM on March 23, 2011
You can search local MLS listings online and see if your house is there and what the asking price is. That will give you a better idea of whether it will sell and how quickly.
I know it causes anxiety. As someone who has had traumatic house-moving experiences in the past, when I went through it I felt a lot of anxiety as well. You kind of just have to throw up your hands and let the chips fall where they may, and trust that you can handle it. Talk to your girlfriend and come up with a plan for what you will do if you get 30-day notice: will one of you be responsible for packing up everything and the other responsible for finding a new place? Maybe also talk to your landlord and just confirm that a new landlord has to give you 30-days notice to vacate the house once it's sold. Maybe see if you can get them to notify you if your landlord accepts a bid on the house so you get a little early notice. Once you feel a little bit more secure that you can handle it (which I'm sure you can), you can let go of some of that fear and uncertainty.
posted by sarahnade at 5:26 PM on March 23, 2011
I don't know where you are located, but in Australia at least "month-to-month" leases mean the TENANT can give notice with only a month's warning, but the OWNER still has to give you varying periods depending on the reason. So if a new owner buys your place (which could take up to three months from offer to settlement), they have to give you two month's notice.
Also ""For some reason, the agent we spoke with also assured us that new owner will continue renting (perhaps the potential new owner has other properties managed by them?). This smells a little fishy to me."
If they are so willing to swear the new owner won't want to live in the house, perhaps there would be no problem with signing a one year lease now?
posted by lollusc at 7:20 PM on March 23, 2011
Also ""For some reason, the agent we spoke with also assured us that new owner will continue renting (perhaps the potential new owner has other properties managed by them?). This smells a little fishy to me."
If they are so willing to swear the new owner won't want to live in the house, perhaps there would be no problem with signing a one year lease now?
posted by lollusc at 7:20 PM on March 23, 2011
Response by poster: Rather late response: Thank you all for the thoughtful and sensitive feedback. We have calmed down a bit since the initial news and it seems that the situation is not necessarily going to be as dire as I initially feared.
posted by christopherious at 5:44 PM on March 29, 2011
posted by christopherious at 5:44 PM on March 29, 2011
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Inconvenient as it may be, but can you look into finding a new place and then provide the appropriate 30 days notice the property management company? Or could you speak to the property management company about transferring your lease to another property they may own, considering their mistake?
posted by zizzle at 12:42 PM on March 23, 2011 [2 favorites]