Can I Sign a Lease After an Offer Is Made on the Home?
When you rent a home, you run the risk of your landlord not renewing your lease so he can sell his property. This is more common with individual landlords who own only a few properties than with rental companies. If a sales offer is made on a home, you can still sign a lease on the property, but only if the landlord agrees to rent it.
Lease
A lease agreement is a contract to rent a home for a specific period of time. The lease agreement states the name of the renter, the landlord, the length of the rental and the monthly rent payments. The agreement may also list other lease requirements such as terms for a security deposit or the responsibilities of the renter and landlord. While your lease is in force, the landlord cannot raise your rent or evict you from the property unless you violate the terms of your lease.
Home Ownership
Whether you can legally sign a lease with your landlord depends on his current ownership of the property. Your landlord must be the current owner of the home for your lease to be valid. If a buyer has made an offer for the landlord's property, the landlord still retains ownership rights. He does not transfer ownership of the home until he accepts the purchase offer, signs a sales agreement and transfers the property title to the new owner.
Signing the Lease
A purchase offer does not prevent your landlord from renting his property. It is his decision to rent or sell his home. While the sales offer cannot legally prevent a lease signing, it may cause your landlord to not offer a new lease because he wants to sell the property.
Tenant Rights
If you are currently renting a home as part of a lease, you have several rights regarding a home sale. Your landlord typically cannot sell the property during your lease. He must wait until the lease expires to sell the property unless your lease agreement allows your landlord to end the lease early for a sale. Another lease agreement that may apply is a rent-to-own agreement. In this situation, your landlord must offer you the right to buy the home before accepting an offer from an outside party.
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