Notice to Tenants of Intent to Sell: Legal Guide for Landlords and Tenants

Comprehensive guide explaining the legal requirements and implications of a Notice to Tenants of Intent to Sell for both landlords and tenants, including rights, responsibilities, and best practices.

Introduction

A 'Notice to Tenants of Intent to Sell' is a formal document that landlords provide to their tenants when they plan to sell a rental property. This notice serves as an important communication tool that helps maintain transparency between landlords and tenants during the property sale process. While specific requirements vary by location, providing this notice is often a legal obligation and always a best practice that respects tenants' rights while allowing landlords to exercise their property rights. This guide explains what this notice entails, when it's required, and what both landlords and tenants should know about the process.

Key Things to Know

  1. 1

    Notice requirements vary significantly by location – check your local and state laws for specific timing and content requirements.

  2. 2

    Existing leases generally survive property sales, meaning new owners must honor the terms until the lease expires.

  3. 3

    Landlords must balance their right to sell property with tenants' rights to privacy and quiet enjoyment.

  4. 4

    Providing clear, detailed notice can prevent disputes and facilitate a smoother sale process for all parties.

  5. 5

    Tenants generally cannot refuse all showings, but have rights regarding reasonable notice and showing conditions.

  6. 6

    Some jurisdictions provide tenants with special protections during property sales, such as first right of refusal to purchase.

  7. 7

    Written documentation of all communications regarding the sale process is advisable for both landlords and tenants.

  8. 8

    Professional property photography and virtual tours can reduce the need for excessive in-person showings, benefiting both parties.

Key Decisions

Individual Landlord Selling a Rental Property

Real Estate Investor with Multiple Rental Properties

Tenant Living in a Property Being Sold

Customize your Notice to Tenants of Intent to Sell Template with DocDraft

NOTICE TO TENANTS OF INTENT TO SELL PROPERTY

Date of Notice: [DATE]

Property Address: [PROPERTY ADDRESS]
Unit Number(s): [UNIT NUMBER(S)]

Landlord/Owner: [LANDLORD/OWNER NAME]
Management Company: [MANAGEMENT COMPANY NAME, IF APPLICABLE]
Contact Information: [PHONE NUMBER], [EMAIL ADDRESS]
Mailing Address: [MAILING ADDRESS]

NOTICE OF INTENT TO SELL

Dear Valued Tenant(s):

This formal notice is to inform you that the owner of the above-referenced property intends to sell the property in accordance with applicable laws and regulations. This notice is being provided to you in compliance with all relevant local, state, and federal laws governing tenant notifications.

SALE INFORMATION

Intent to Sell

The undersigned owner hereby formally notifies you of the intention to sell the above-referenced property. This decision has been made after careful consideration and is in accordance with the property owner's legal rights.

Expected Timeline

The anticipated timeline for the sale process is as follows:

  • Property preparation period: [DATE RANGE]
  • Marketing and listing of property: [DATE RANGE]
  • Showing period: [DATE RANGE]
  • Anticipated closing period: [DATE RANGE]

Please note that this timeline is approximate and subject to change based on market conditions and other factors outside the owner's control. You will be notified of any significant changes to this timeline as information becomes available.

Potential Buyer Information

[SELECT ONE OF THE FOLLOWING OPTIONS:]

  • At this time, a specific buyer has not been identified. The property will be marketed to the general public.
  • The property is being considered for purchase by [BUYER NAME/COMPANY], a [INDIVIDUAL/COMPANY/DEVELOPER]. This potential buyer's intended use for the property is [INTENDED USE, IF KNOWN].

TENANT RIGHTS AND PROTECTIONS

Lease Status

Your current lease remains valid and binding. The sale of the property does not automatically terminate your lease agreement. Under the legal principle of "successor in interest," the new owner will be bound by the terms of your existing lease until its expiration date. All terms, including your current rent amount, security deposit, and other provisions will remain in effect for the duration of your lease term.

For month-to-month tenancies: While your tenancy will continue after the sale, the new owner may have the right to modify terms or terminate the tenancy with proper notice as required by law, which is currently [NUMBER] days in this jurisdiction.

Right of First Refusal

[SELECT ONE OF THE FOLLOWING OPTIONS:]

  • Under the laws of this jurisdiction, you have a right of first refusal to purchase the property before it is offered to other buyers. If you are interested in exercising this right, you must notify the owner in writing within [NUMBER] days of receiving this notice. Additional information regarding the purchase price and terms will be provided upon your expression of interest.
  • The laws of this jurisdiction do not provide tenants with an automatic right of first refusal. However, if you are interested in purchasing the property, please contact the owner or property manager to discuss this possibility.

Rent Control Implications

[SELECT ONE OF THE FOLLOWING OPTIONS:]

  • This property is subject to rent control/rent stabilization ordinances. The sale of the property does not affect the rent control status. The new owner will be required to comply with all applicable rent control regulations, including limitations on rent increases and eviction protections.
  • This property is not subject to rent control/rent stabilization ordinances. However, all other tenant protections under state and local law will continue to apply.

Eviction Protections

The sale of a property is not, in itself, legal grounds for eviction in this jurisdiction. You cannot be evicted simply because the property is being sold or has been sold. Any eviction proceedings must be based on legally permissible grounds as defined by local and state law, such as non-payment of rent, violation of lease terms, or other legally recognized reasons.

If the new owner intends to occupy the property as their primary residence, different rules may apply, but you would still be entitled to [NUMBER] days' notice and potentially relocation assistance as required by local ordinances.

PROPERTY SHOWING PROTOCOL

To facilitate the sale process, the property will need to be shown to potential buyers. All showings will be conducted in accordance with the following protocol, which complies with your right to quiet enjoyment and privacy:

  1. Advance Notice: You will receive at least [NUMBER] hours' advance written notice before any showing. This notice will specify the date and time range for the showing.

  2. Showing Hours: Showings will only be conducted during reasonable hours, defined as [TIME] to [TIME], Monday through Friday, and [TIME] to [TIME] on weekends. No showings will occur on major holidays.

  3. Frequency Limitations: To minimize disruption, showings will be limited to no more than [NUMBER] per week and no more than [NUMBER] per day.

  4. Presence During Showings: You have the right to be present during showings, though it is not required. If you choose not to be present, the landlord or authorized agent will accompany all prospective buyers.

  5. Security of Belongings: All reasonable precautions will be taken to ensure the security of your personal belongings during showings. However, we recommend securing valuables as an additional precaution.

  6. Special Accommodations: If you have special circumstances that require specific accommodations regarding showings (such as work-from-home arrangements, medical conditions, etc.), please contact the property manager to discuss reasonable accommodations.

  7. Pets: If you have pets, please inform us of any special instructions regarding their care during showings.

SECURITY DEPOSIT HANDLING

Your security deposit will be transferred to the new owner at the time of sale closing. The new owner will assume all responsibilities related to your security deposit, including:

  1. Maintaining the deposit in accordance with state law requirements
  2. Providing you with written notification of the transfer, including the new owner's name and contact information
  3. Honoring the terms under which the deposit may be used or must be returned

The transfer of ownership does not affect your right to the return of your security deposit at the end of your tenancy, subject to the terms of your lease agreement and applicable law.

RELOCATION INFORMATION

[SELECT ONE OF THE FOLLOWING OPTIONS:]

  • At this time, there is no indication that you will need to relocate as a result of this sale. As stated above, your lease remains valid and binding on the new owner.
  • If circumstances change and relocation becomes necessary, you may be entitled to relocation assistance under local ordinances. In this jurisdiction, qualifying tenants may be eligible for [DESCRIBE RELOCATION BENEFITS]. Additionally, you would be provided with at least [NUMBER] days' notice before any required relocation.

COMMUNICATION DURING THE SALE PROCESS

Point of Contact

Throughout the sale process, your primary point of contact for all questions and concerns will be:

Name: [CONTACT NAME]
Position: [POSITION/TITLE]
Phone: [PHONE NUMBER]
Email: [EMAIL ADDRESS]
Office Hours: [OFFICE HOURS]

Future Updates

You will receive regular updates about the sale process at the following intervals:

  • Upon listing of the property
  • When an offer has been accepted
  • When the sale is finalized
  • Any time there is a significant change that may affect your tenancy

All updates will be provided in writing, delivered by [DELIVERY METHOD].

Tenant Questions Process

We encourage you to submit any questions or concerns about the sale process. You may do so by:

  1. Emailing your questions to [EMAIL ADDRESS]
  2. Calling [PHONE NUMBER] during business hours
  3. Submitting written questions to the management office
  4. Requesting an in-person or virtual meeting with the property manager

All questions will be acknowledged within [NUMBER] business days, and we will make every effort to provide complete responses within [NUMBER] business days.

TENANT RESOURCES AND LEGAL PROTECTIONS

Anti-Discrimination Compliance

The sale of this property will be conducted in full compliance with all fair housing and anti-discrimination laws. Neither the current owner nor any agents involved in the sale will discriminate against any person based on race, color, religion, national origin, sex, familial status, disability, sexual orientation, gender identity, source of income, or any other protected characteristic.

Tenant Advocacy Resources

You may wish to consult with the following tenant advocacy organizations or legal resources for independent advice regarding your rights during this process:

  1. [LOCAL TENANT UNION/ORGANIZATION NAME]
    Phone: [PHONE NUMBER]
    Website: [WEBSITE]

  2. [LOCAL LEGAL AID ORGANIZATION]
    Phone: [PHONE NUMBER]
    Website: [WEBSITE]

  3. [LOCAL HOUSING AUTHORITY/TENANT RIGHTS OFFICE]
    Phone: [PHONE NUMBER]
    Website: [WEBSITE]

  4. [STATE/LOCAL BAR ASSOCIATION LAWYER REFERRAL SERVICE]
    Phone: [PHONE NUMBER]
    Website: [WEBSITE]

ACKNOWLEDGMENT OF RECEIPT

While not required for the validity of this notice, we request that you sign and return the acknowledgment below to confirm your receipt of this notice. A duplicate copy is provided for your records.


I/We acknowledge receipt of this Notice of Intent to Sell Property.

Tenant Signature: __________________________ Date: ______________

Tenant Name (Printed): __________________________

Tenant Signature: __________________________ Date: ______________

Tenant Name (Printed): __________________________


CERTIFICATION OF SERVICE

I, the undersigned, certify that on [DATE], I served this Notice of Intent to Sell Property on the above-named tenant(s) by:

[SELECT ALL THAT APPLY:]

  • Hand-delivering a copy to the tenant(s)
  • Hand-delivering a copy to a person of suitable age and discretion at the premises
  • Posting a copy in a conspicuous place at the premises in the absence of a person of suitable age and discretion
  • Sending a copy by certified mail, return receipt requested
  • Sending a copy by registered mail
  • Other method authorized by law: [SPECIFY METHOD]

Signature: __________________________

Name (Printed): __________________________

Title/Position: __________________________

Date: __________________________


This notice is provided in good faith and in accordance with all applicable laws. Nothing in this notice should be construed as legal advice. Both landlords and tenants are encouraged to consult with qualified legal professionals regarding their specific rights and obligations.

Kansas Requirements for Notice to Tenants of Intent to Sell

Kansas Landlord-Tenant Act Compliance (K.S.A. § 58-2501 et seq.)

The notice must comply with the Kansas Residential Landlord and Tenant Act, which governs the relationship between landlords and tenants in residential rental properties in Kansas.

Written Notice Requirement (K.S.A. § 58-2564)

While Kansas law does not specifically mandate a notice of intent to sell, best practices dictate providing written notice to tenants to maintain transparency and good faith in landlord-tenant relationships.

Lease Agreement Provisions (K.S.A. § 58-2545)

The notice must adhere to any specific provisions in the existing lease agreement that address the landlord's intent to sell the property, as these contractual obligations are legally binding.

Tenant Right to Quiet Enjoyment (K.S.A. § 58-2553)

The notice must acknowledge and respect the tenant's right to quiet enjoyment of the property during the sale process, as protected under Kansas law.

Property Access for Showings (K.S.A. § 58-2557)

The notice must outline the landlord's right to access the property for showings, which requires reasonable notice (typically 24 hours) except in emergencies.

Security Deposit Transfer (K.S.A. § 58-2550)

The notice should address how security deposits will be handled in the event of a sale, including the potential transfer to the new owner as required by Kansas law.

Lease Continuation Rights (K.S.A. § 58-2555)

The notice must inform tenants that existing leases generally survive property sales, and the new owner must honor the terms of the existing lease until its expiration.

Month-to-Month Tenancy Termination (K.S.A. § 58-2570)

For month-to-month tenancies, the notice should clarify that either the current or new owner must provide at least 30 days' written notice to terminate the tenancy.

Prohibition Against Retaliatory Actions (K.S.A. § 58-2572)

The notice must not contain any language suggesting retaliatory actions against tenants who exercise their legal rights during the sale process.

Fair Housing Act Compliance (42 U.S.C. § 3601-3619)

The notice and all actions related to the property sale must comply with the Federal Fair Housing Act, which prohibits discrimination based on race, color, religion, sex, disability, familial status, or national origin.

Americans with Disabilities Act Considerations (42 U.S.C. § 12101 et seq.)

The notice should acknowledge that reasonable accommodations for tenants with disabilities must be maintained during the sale process, including during property showings.

URLTA Influence (Uniform Residential Landlord and Tenant Act)

While not directly applicable, the Uniform Residential Landlord and Tenant Act has influenced Kansas law and supports the principle that tenants should receive reasonable notice of significant changes affecting their tenancy.

Tenant Privacy Rights (K.S.A. § 58-2557(c))

The notice must respect tenant privacy rights during the sale process, particularly regarding personal property and information.

Rent Payment Procedures (K.S.A. § 58-2545(d))

The notice should clarify rent payment procedures during and after the sale, including where and to whom rent should be paid.

Tenant First Right of Refusal (No specific statute, but relates to K.S.A. § 58-2501 et seq.)

While not mandated by Kansas law for private housing, the notice may include information about any voluntary first right of refusal offered to tenants to purchase the property before it is sold to a third party.

Disclosure of Material Facts (K.S.A. § 58-30,106)

The notice should include disclosure of material facts about the sale that might affect the tenant's rights or living conditions.

Servicemembers Civil Relief Act Protections (50 U.S.C. § 3901-4043)

The notice must acknowledge special protections for active-duty military tenants under federal law, which may affect lease termination rights during property sales.

Lead-Based Paint Disclosure (42 U.S.C. § 4852d)

For properties built before 1978, the notice should reference that lead-based paint disclosures must be maintained during the sale process and transferred to the new owner.

Kansas Consumer Protection Act (K.S.A. § 50-623 et seq.)

The notice must not contain deceptive or unconscionable practices as defined under the Kansas Consumer Protection Act, which protects consumers (including tenants) from unfair business practices.

Local Municipal Ordinances (Various municipal codes (e.g., Kansas City, Wichita, Topeka))

The notice must comply with any additional requirements imposed by local municipal ordinances in Kansas cities regarding tenant notifications during property sales.

Frequently Asked Questions

A Notice to Tenants of Intent to Sell is a written document that landlords provide to tenants informing them that the rental property will be placed on the market for sale. This notice typically includes information about the anticipated timeline, how showings will be conducted, and what rights tenants have during the sale process. The notice serves as both a courtesy and, in many jurisdictions, a legal requirement before a landlord can begin showing the property to potential buyers.

Requirements vary significantly by location. Some states, cities, or municipalities have specific laws mandating that landlords provide written notice before listing a property for sale, while others don't have explicit requirements. For example, some jurisdictions require 30, 60, or 90 days' notice before the property can be shown to prospective buyers. Even where not legally required, providing notice is considered a best practice and can help maintain a positive landlord-tenant relationship during the transition.

A comprehensive Notice to Tenants of Intent to Sell should include: 1) A clear statement of the landlord's intention to sell the property, 2) The anticipated timeline for listing and showing the property, 3) Information about how and when showings will be conducted, 4) Clarification about the tenant's rights during the sale process, 5) Assurance that the existing lease terms remain in effect, 6) Contact information for questions or concerns, and 7) Any relevant local legal disclosures required by law.

Generally, tenants cannot outright refuse all showings, as landlords have the right to sell their property and show it to prospective buyers. However, tenants do have rights regarding how and when these showings occur. Most jurisdictions require landlords to provide reasonable notice (typically 24-48 hours) before each showing. Tenants also have the right to privacy and quiet enjoyment of their home. If showings become excessive or disruptive, tenants may have grounds to negotiate limitations or even seek legal remedies depending on local tenant protection laws.

No, a property sale does not automatically terminate an existing lease. In most jurisdictions, leases survive property transfers, meaning the new owner must honor the terms of existing leases until they expire. This principle is often summarized as 'the lease follows the land.' However, there are exceptions: if your lease contains a specific early termination clause triggered by sale, or if the property is being foreclosed upon (though even then, some jurisdictions provide tenant protections).

Failing to provide proper notice can have several negative consequences for landlords: 1) Legal liability and potential fines in jurisdictions where notice is required by law, 2) Tenant complaints or resistance to showings, 3) Potential claims for violation of quiet enjoyment or privacy rights, 4) Damage to landlord-tenant relationships that could lead to uncooperative behavior during the sale process, and 5) In extreme cases, tenants might seek injunctive relief to prevent improper showings or even sue for damages related to improper notice.

Tenants typically retain several important rights when their rental property is being sold: 1) The right to continue occupancy according to their lease terms, 2) The right to reasonable notice before showings (usually 24-48 hours), 3) The right to privacy and quiet enjoyment of their home, 4) Protection against harassment or pressure tactics to vacate, 5) In some jurisdictions, first right of refusal to purchase the property, and 6) In tenant-friendly jurisdictions, potential relocation assistance if the new owner plans to convert the property to another use or move in themselves (subject to local 'just cause' eviction laws).

Yes, it's advisable to customize notices for each tenant or property. While you can use a template as a starting point, each notice should reflect: 1) The specific property address, 2) The particular tenant's lease terms and situation, 3) Any unique features of the local laws where each property is located, 4) Specific timelines relevant to that property's sale, and 5) Particular arrangements for showings that might vary by property. Customizing notices demonstrates professionalism and helps ensure compliance with varying local requirements.

Yes, landlords can and often do offer incentives to gain tenant cooperation during the sale process. Common incentives include: 1) Rent reductions during the showing period, 2) Cleaning services before or after showings, 3) Gift cards or compensation for time spent accommodating showings, 4) Flexible showing schedules that work around tenant needs, 5) Written guarantees about showing frequency and duration, and 6) Early lease termination options if tenants prefer to move rather than go through the sale process. These incentives can foster goodwill and make the process smoother for all parties.

If a new owner wants to move into your rental unit, the outcome depends on your lease status and local laws: 1) If you have a fixed-term lease, the new owner generally must wait until the lease expires before moving in, unless your lease contains specific provisions allowing for earlier termination. 2) If you're on a month-to-month tenancy, the new owner can typically provide notice to terminate according to local requirements (usually 30-60 days). 3) In areas with 'just cause' eviction protections, owner move-in may qualify as a just cause, but often comes with specific notice requirements, potential relocation assistance obligations, and restrictions on re-renting the unit afterward.