We are in the process of buying a house, but this house already has tenants in it. Do you make them to sign new lease agreement or you have to take what they already have?
Thank you 
Where I live in MN the leases transfer over when you buy the property, you have to wait until the end of the lease term in order to change anything. Your state might be different but it should be all close to the same.
Good Luck
thank you
Howdy Yelena:
Here is some additional info: Foreclosure wipes out the lease also if it is a REO. The lender has the option to sign a new lease or boot the tenants out.
On your deal you could negotiate with the tenant for an early move and agree to pay their expenses etc or you may want to have them agree to a higher rent with upgrades you do like new paint and carpet.
Just a few extra thoughts that may help.
thank you.
Yesterday we went on final inspection and talked to tenants and they rent it for free (The landlord said they rented it for 450$ a months) and they have no lease agreement, only oral.
In my state oral lease agreement is considered like written.
They said they are going to move out by January 15 (they will live in another appartment), how do I make sure they move out on January 15? They can stay and say that they had oral agreement till May 15 or something else?
Thank you for your help a lot!
Yelena, you just learned a very big lesson in the due diligence period, that is yes sellers lie, if the say onething make sure they can back it up, written on paper, almost everytime I have dealt with a seller he or she will “buff” up the rents. But you must be able the look at the leases and the rent rolls. If they “said” they are moving out on Jan 15. I would get that in writing to.
Good Luck
yes, you are right as usually.
Thank you so much for your help again
In what state is an oral agreement the same as a written agreement? How would that stand up in court? How could you ever evict a tenant?
I occasionally buy properties with tenants, but make sure I get a copy of the old lease (it’s usually a month to month), require a new lease be signed before the closing, do a credit and criminal background check, check income and employment, in short the same as I would with any new tenant. I also ensure the transfer of security deposit from the previous landlord is on the HUD. WIth these type of properties there is usually an outrageous water bill, too, and that must be paid at closing. My purchase agreement is contingent on these items. If the tenant won’t play, I don’t buy unless there is a drastic reduction in price for my risk. There are too many things a disgrintled tenant can do to a property before vacating, why should the buyer take that unnecessary risk? Having a cash offer in hand and a buyer ready to close is very motivating to a seller to handle the eviction himself, and to ensure the property is in the same condition as when the PA was signed.
thank you very much
I recommend you check the laws in your state. Never take the state statues for granted and never listen to your friend. Read them yourself; they are not complicated. An oral lease does not supersede anything in writing (like the state statues.) When ever there is a conflict the statues should prevail. Your state should have a notice period set forth in the statues.
If you have a month to month lease… in my state you only have to give a 7 day moving notice and then you can start eviction. Due diligence begins now; go get the facts from the internet. It should only take you about 30 minutes. Most of the landlords in my area have no idea what the laws are and the tenants tell them how it will be many times. Not knowing the rules will cost you a lot.
When I took Real Estate class, the teacher said that in our state an oral agreement is the same as wriiten. May be he exgadurated…
how would you get the rules? (sorry, I am sometimes really stupid) Would you type in google tenant-landlord law for Idaho (my state)
Giving notice
http://www3.state.id.us/cgi-bin/newidst?sctid=550030007.K
All the Statutes
http://www3.state.id.us/idstat/TOC/55FTOC.html
thank you
Howdy Yelena:
Your teacher was not wrong. Many aspects of an oral and written lease are the same. A leasee only has to be written if it is over 3 years in our fine state. Get the lease in writing because as garrej said the state will make the terms of the lease to fit the situtation by statute if you do not have a written lease. Watch Judge Judy or Texas Justice or Joe Brown and you will see how important having it in writing is. Although legal an oral lease is just asking for trouble.
thank you
we are, actually, trying to get rid of the tenants now.
We will see how it goes…
I am curious about something…how can it be proven that an oral lease even exists? Thanks in advance for any explanation.
Regards, Tony
Howdy BO BO the King:
Very good question. I actually lost an evistion case when I bough a house with a tenant who was not paying rent. The house was in my dads name Ted Sr and the jury said we had no lease with him so he could stay and that I was not even supposed to be there sinse Ted Sr owned the house. The guy was smart to get a jury trial. The judge could see right thru him but the jury believed he paid that months rent to the seller and that we should sue the seller even though there was no receipt.
I kicked his butt the next month but he still got two more months free rent. This was a lower income property but it happens even in upper class areas too. Just part of the business. I have a stack of judgements against tenants and have only colected against 1 in over 10 years. If the tenant is a no show and does not answer the court you can get a default judgement without going to court for possession only and not for the money. I will always do that instead of waiting. I have had tenants show up in court and the judge actually listed to their sob story even thought they did not answer the summons and even with my strong objections to them even being there. I won but what a hastle for no reason, at least that I could see.
hi i agree with
tenjr
basicaly a lease is a contract between two entitys.either can break the lease at anytime.with a tenaent you give them notice to leave,“break the contract”,they in turn tell you they are leaving"break the contract" .
all other stuff "oral/written/lawyers/courts"is just dog do-do.
moke
Buying a property with a tenant is a wonderful thing and a horrible thing. The lease transfers with the property, as long as that is stated in the contract, and the rents should also be listed in the contract so that the seller is responsible for that month’s rent or prorated rents from the seller.
A written lease should be demanded, even if the ink is still wet when you receive it, and for the amounts either advertised, or stated by the landlord, and the seller is responsible to turn over rent deposits to the buyer, so they can be maintained in escrow while the tenant is still there.
Yes, bad tenants come with the property, and fool you, when renting your properties.
In regards to court judgements against tenants, can be strong, but a negative credit report on the tenant’s credit can be more compelling, since most landlords check credit, the poor tenant can’t seem to get a break, now with the bad tenant history on their credit reports.
They’ll come back, and make good on their past, so you’ll remove it from the credit reports.
There’s more than one way to skin a cat!
Good Luck!
From what I’ve read, and I’m not a lawyer, this does NOT appear to be a lease, There has been no rent paid(consideration), unless the tenant is the superintendent or something like that. I believe in order for a lease to be be a lease each party must perform in some manner i.e. tenant pays rent, landlord provides place. Here it seems Landlord provides place - tenant just exists (unless tenant stopped paying rent). But if they never paid are they even really a tenant? (? for a lawyer).
To get them out you could always bribe them - (Pay them to leave)
KEC