Your Rights When Your Landlord Sells the Property

California Tenant Defense System | Justice Foundation

When the property you rent is sold to a new owner, your lease and tenant rights don’t disappear. California law imposes obligations on both the selling landlord and the new buyer that protect your tenancy through a sale and beyond. Understanding these protections prevents displacement that is often threatened but rarely legally supported.

Your Lease Survives the Sale

A fixed-term lease is binding on new owners. When a landlord sells a property subject to a lease, the buyer takes the property subject to the lease’s terms — including your rent amount, the lease end date, and all other provisions. A new owner cannot simply terminate your lease because they bought the building. Your right to occupy through the end of your lease term is legally protected against the new owner just as it was against the prior owner.

Month-to-Month Tenants

Month-to-month tenants are in a more precarious position — a new owner can give proper notice to terminate a month-to-month tenancy, subject to any just-cause requirements that apply. In just-cause jurisdictions (AB 1482 covered units, local rent control areas), the new owner cannot terminate a month-to-month tenancy without one of the specified just causes, even if their motivation for purchasing was to occupy or redevelop the property. The sale itself is not a just cause for eviction.

Rent Control Protections Through a Sale

Rent control protections — rent caps and just-cause requirements — transfer with the property when it’s sold. A new owner of a rent-controlled unit cannot reset rents to market rate or claim fresh just-cause eviction rights simply because they purchased the building. All rent control obligations apply to new owners exactly as they applied to the prior owner.

Your Security Deposit

When a property is sold, the security deposit should be transferred to the new owner, who then becomes responsible for returning it according to California law. If the prior landlord keeps the deposit, both the prior landlord and new owner may be jointly liable for its return. Get written confirmation that your deposit has been transferred as part of any sale notification you receive. The Justice Foundation kit covers tenant rights during property sales and the specific protections in rent-controlled jurisdictions.