Should I keep existing tennents in a new purchase?

[Stephen1151]

I have just purchased a townhome. There are currently tennents who have been given there 2 month notice to move out by the owners who sold me the town home. These tennents are looking to buy and there realtor is acually my realtor. There is now one month left before I take possession and these tenents have not yet found a place to buy. Im wondering if I should offer them a month to month tenancy until they find a place.



If I offered them a month to month, I would make sure to check with there property manager to find out there rental history and do my due dilligence. Im wondering if there is an traps or pitfalls in doing this that I may be overlooking. any suggestions?

 

[jarrettvaughan]

If you are comfortable with them being your tenants, they pay on time, the place is kept well, no noise issues etc, then keep them .



If they are questionable, this may be your only chance to get them out with out a fight.



If they are good, keep them. Saves you some work, vacancy and money.



Just remember to get their damage deposit from the current owner and get them under your own tenancy agreement.

 

[Thomas Beyer]

month-to-month is the norm .. and it means: you have to give 3 months notice usually to move out.



Depending on province you canNOT just ask them to leave for any reason ! What province is this ?



Since you are not the owner yet: you can't do anything besides talk to them perhaps. You can give them a new 1 or 2 months lease .. depending on provincial landlord-tenant act !



btw:

tenant (not tennent)

Their .. not there !

 

[invst4profit]

My decision would depend on whether it was my intention to maintain the property as a rental long term, the quality of tenant in place and very importantly whether the rent is at market level or not.



In light of the fact that the previous owner has initiated the eviction and they are going along I would likely stick to it if any one of my above listed criteria was not met.



Keeping in mind I am in Ontario and evicting is virtually impossible I would see there moving as a advantage in the purchase.



If you offered them a month to month and in the end they decided not to buy a home would it be difficult to evict in your provence?

 

[MrHamilton]

[quote user=stephen] check with there property manager to find out there rental history and do my due dilligence


Hi Stephen, sounds like you're on the right track... If it were me, I would treat them no different from anyone else who wants to rent my property: have them complete an application, call their references, get two proofs of income, call their place of employment to confirm their employment, get post dated cheques, etc...



traps/pitfalls - last month's rent: did the previous landlord collect last month's rent? If yes, good, last month's rent will be on your statment of adustments when you close. If no, confirm this with the tenants.



Hope that helps!!

Erwin

 

[Stephen1151]

Thanks for all the replys. So far they have not indicated there intention of what they want to do other than there realtor just told me they dont want to stay. I guess for now I will have to wait and expect they will move out.

 

[Stephen1151]

Well here is a new development. My realtor told me the tenents would like to stay an extra month from when I take possesion. I phoned there property manager to find out that they are refusing to pay for the month of Jan or Feb. So obviously I told my realtor they can forget about it.



In the contract the sellers must deliver me the place empty of any tennents (this is to be march 01) what legal grounds do I have if the tenents refuse to leave? does this mean I delay on the purchase?...



(This is in BC)