Sell rental accommodation: what are the rules?
Verified 04 May 2021 - Legal and Administrative Information Directorate (Prime Minister)
When the owner wants to sell a dwelling inhabited by a tenant, he has 2 possibilities: wait for the end of the lease or sell the rental in progress. Depending on the type of accommodation, which is empty (i.e. rented without furniture) or furnished, the rules to follow are different.
Empty Housing
The landlord can choose to sell the house after the tenant has definitively left the premises.
Leave tenant
To do this, the owner must leave (notice) to the tenant for the end date of the lease. The letter of leave must indicate the reason for the leave, i.e. leave to sell. The letter must reach the tenant at least 6 months before the end of the lease. The tenant must then leave the dwelling and return the keys to the owner no later than the end of the lease.
FYI
the owner must comply with the leave to sell (contents of letter, notice period...). Otherwise the tenant can challenge the leave before the judge.
But the landlord cannot give the tenant a holiday, in certain situations:
- When the tenant is old and has low income, tenant is protected. The owner may not grant leave or may do so only under special conditions.
- When the owner has recently purchased the dwelling inhabited by a tenant, he cannot give leave at the end of the lease. This is the case when the owner purchased the home less than 3 years before the end of the current lease. The owner can only give leave for the end of the 1to renewal or renewal 1re renewal of the current lease.
For example, if the owner bought the house on the 1to March 2021 and the lease expires on May 31, 2023, he may grant leave to the tenant to vacate the premises by the end of the 1re extension, which takes place on 31 May 2026.
If the landlord gives the tenant leave on fraudulent grounds:
The tenant may contest the reason for the leave.
To do this, he must prove that the owner did not intend to sell the house. For example, if the price to buy the house is excessive.
He can then ask the court of the dispute of the protection of the court on which the dwelling depends to grant him damages for the damage suffered.
The owner also risks a criminal fine of up to €6 000 (€30,000 in the case of a corporation).
Who shall I contact
Tenant Offer
The leave to sell is an offer to the tenant. The tenant can buy the house.
Tenant's right of first refusal
The tenant benefits from right of first refusal. It takes priority over other buyers to buy the house.
If there are several tenants, everyone has a right of first refusal.
However, the tenant's right of first refusal does not apply when near parent up to and including 3rd degree of the owner shall be the purchaser of the dwelling, to inhabit it it for at least 2 years after the end of the notice.
Acceptance of Sales Offer
The offer to sell to the tenant is valid for the first 2 months of the notice.
If the tenant agrees to the sale, they must:
- inform the owner by registered letter with notice of receipt, no later than the first 2 months of the owner's legal notice
- indicate whether he will apply for a home loan, if so.
If the tenant accepts the offer to sell the house within the specified time, any promise to sell signed by the owner and another buyer is cancelled.
From the date of sending of his reply to the owner, the tenant has a period of 2 months to sign the bill of sale. If the tenant applies for a real estate loan, the time allowed to sign the bill of sale is 4 months.
The period of notice shall be extended until the expiry of the period within which the sale is completed.
Refusal of offer to sell
The tenant shall refuse the offer to sell if:
- He sends a refusal to the owner
- He does not respond to the owner within the first 2 months
- He makes a counter proposal that the owner refuses
As a result, the tenant must leave the premises on or before the last day of notice.
However, he may leave the premises at any time during the period of notice, and is only obliged to pay the rent and expenses until the date of delivery of the keys to the owner.
The landlord can sell the house, even if it is inhabited by a tenant.
The tenant can buy the house, but it is not a priority to do so. He has no right of first refusal, except in certain situations (example: listing of the building).
When the house is sold to a new owner:
- The new owner must inform the tenant of his contact details
- The tenant remains in the premises and sees his lease continue under the same conditions with this new owner. The new owner will have to return the security deposit if the rental ends.
- The guarantor shall not be released from the undertaking unless otherwise provided in the bond.
When the new owner wants to live in the house or sell it, he sometimes has to respect a specific time before giving leave (notice) to the tenant in place.
Video: Is your landlord obliged to offer you the purchase of accommodation in case of sale?
Furnished accommodation
The landlord can choose to sell the house after the tenant has definitively left the premises.
Leave tenant
To do this, the owner must give leave (notice) to the tenant for the end of the lease. However, the landlord can be prevented from doing so, depending on the age of the tenant.
Please note
the owner of a rented accommodation with mobility lease does not need to give notice to the tenant for the end of the lease.
General case
The letter of leave shall indicate the reason for the leave (leave to sell). It must reach the tenant at least 6 months before the end of the lease. The tenant will then have to leave the dwelling and return the keys to the owner no later than the end of the lease.
Warning
the owner must comply with the leave to sell (contents of letter, notice period...). Otherwise, the tenant can challenge the leave before the judge.
Tenant under 65
A tenant under 65 years of age (at the end of the lease) is protected if the tenant meets the following 2 conditions:
- He or she is dependent on a person over 65 years of age (at the end of the lease)
- The cumulative amount of resources (as of the date he takes possession of the letter of leave) of all persons living in the dwelling is less than:
Number of persons | Types of people | Ile-de-France | Other | |
|---|---|---|---|---|
Paris or a city bordering Paris | Other | |||
1 | 1 person | €24,116 | €24,116 | €20,966 |
1 single person with mobility inclusion disability card | €36,042 | €36,042 | €27,998 | |
2 | 2 people | €36,042 | €36,042 | €27,998 |
Special situation: - Young couple - 2 persons of which at least 1 with mobility disability inclusion card - 1 single person with 1 dependant | €47,247 | €43,325 | €33,670 | |
3 | 3 people | €47,247 | €43,325 | €33,670 |
Special situation: - 3 persons of which at least 1 with mobility disability inclusion card - 1 single person with 2 dependants | €56,410 | €51,897 | €40,648 | |
4 | 4 people | €56,410 | €51,897 | €40,648 |
Special situation: - 4 persons of which at least 1 with mobility disability inclusion card - 1 single person with 3 dependants | €67,116 | €61,435 | €47,818 | |
5 | 5 people | €67,116 | €61,435 | €47,818 |
Special situation: - 1 person with 4 dependants - 5 persons of which at least 1 with mobility disability inclusion card | €75,523 | €69,134 | €53,891 | |
6+ | 6 people | €75,523 | €69,134 | €53,891 |
Per additional person | + €8,416 | + €7,703 | + €6,011 | |
Reminder
The communes bordering Paris are: Aubervilliers, Bagnolet, Boulogne-Billancourt, Charenton-le-Pont, Clichy, Fontenay-Sous-Bois, Gentilly, Issy-les-Moulineaux, Ivry-sur-Seine, Joinville-le-Pont, Le Kremlin-Bicêtre, Les Lilas, Le Pré-Saint-Gervais, Leeds Vallois-Perret, Malakoff, Montreuil, Montrouge, Neuilly-sur-Seine, Nogent-sur-Marne, Pantin, Puteaux, Saint-Cloud, Saint-Denis, Saint-Mandé, Saint-Maurice, Saint-Ouen, Suresnes, Vanves, Vincennes
If this is the case, the renewal of the lease is automatic unless the owner is:
- He is over 65 years old (at the end of the lease)
- He has resources (as of the date the tenant takes possession of the letter of leave) less than the same maximum amount
- It offers the tenant, during the period of notice, a rehousing solution corresponding to his needs and possibilities, and located nearby.
If the municipality is divided into boroughs, the new dwelling must be located in the same arrondissement or in the neighbouring boroughs.
If the commune is divided into cantons, the new dwelling must be located in the same canton, or in a neighbouring canton belonging to the same commune or another commune divided into cantons.
In other cases, the new accommodation must be within 5 km.
Tenant over 65 years
The tenant over 65 years of age (at the end of the lease) is protected if his resources (at the date of notification) are less than
Number of persons | Types of people | Ile-de-France | Other | |
|---|---|---|---|---|
Paris or a city bordering Paris | Other | |||
1 | 1 person | €24,116 | €24,116 | €20,966 |
1 single person with mobility inclusion disability card | €36,042 | €36,042 | €27,998 | |
2 | 2 people | €36,042 | €36,042 | €27,998 |
Special situation: - Young couple - 2 persons of which at least 1 with mobility disability inclusion card - 1 single person with 1 dependant | €47,247 | €43,325 | €33,670 | |
3 | 3 people | €47,247 | €43,325 | €33,670 |
Special situation: - 3 persons of which at least 1 with mobility disability inclusion card - 1 single person with 2 dependants | €56,410 | €51,897 | €40,648 | |
4 | 4 people | €56,410 | €51,897 | €40,648 |
Special situation: - 4 persons of which at least 1 with mobility disability inclusion card - 1 single person with 3 dependants | €67,116 | €61,435 | €47,818 | |
5 | 5 people | €67,116 | €61,435 | €47,818 |
Special situation: - 1 person with 4 dependants - 5 persons of which at least 1 with mobility disability inclusion card | €75,523 | €69,134 | €53,891 | |
6+ | 6 people | €75,523 | €69,134 | €53,891 |
Per additional person | + €8,416 | + €7,703 | + €6,011 | |
Reminder
The communes bordering Paris are: Aubervilliers, Bagnolet, Boulogne-Billancourt, Charenton-le-Pont, Clichy, Fontenay-Sous-Bois, Gentilly, Issy-les-Moulineaux, Ivry-sur-Seine, Joinville-le-Pont, Le Kremlin-Bicêtre, Les Lilas, Le Pré-Saint-Gervais, Leeds Vallois-Perret, Malakoff, Montreuil, Montrouge, Neuilly-sur-Seine, Nogent-sur-Marne, Pantin, Puteaux, Saint-Cloud, Saint-Denis, Saint-Mandé, Saint-Maurice, Saint-Ouen, Suresnes, Vanves, Vincennes
If this is the case, the renewal of the lease is automatic unless the owner is:
- He is over 65 years old (at the end of the lease)
- He has resources (as of the date the tenant takes possession of the letter of leave) less than the same maximum amounts
- It offers the tenant a rehousing solution adapted to his needs and possibilities and located nearby.
If the municipality is divided into boroughs, the new dwelling must be located in the same arrondissement or in the neighbouring boroughs.
If the commune is divided into cantons, the new dwelling must be located in the same canton, or in a neighbouring canton belonging to the same commune or another commune divided into cantons.
In other cases, the new accommodation must be within 5 km.
In case of fraudulent leave
The landlord must respect the reason for which he gave the tenant leave. If he doesn't, he's given a fraudulent leave to the tenant.
The tenant may contest the reason for the leave.
To do this, he must prove that the owner did not intend to sell the house. For example, if the price to buy the house is excessive.
He can then ask the court of the dispute of the protection of the court on which the dwelling depends to grant him damages for the damage suffered.
The owner also risks a criminal fine of up to €6 000 (€30,000 in the case of a corporation).
Who shall I contact
The owner of a furnished rented dwelling can sell this dwelling, even if it is inhabited by a tenant.
The rules differ depending on whether the accommodation is rented or not with a mobility lease.
General case
The tenant can buy the house he lives in, but he does not have priority to do so. He has no right of first refusal, except in certain situations (example: listing of the building).
When the house is sold to a new owner:
- The new owner must inform the tenant of his contact details
- The tenant remains in the premises and sees his lease continue under the same conditions with this new owner. The new owner will have to return the security deposit if the rental ends.
- The guarantor shall not be released from the undertaking unless otherwise provided in the bond.
Good mobility
If the owner sells the accommodation, or gives it away free of charge, during mobility lease, the new owner must provide the tenant with the following information:
- Its name or name
- Its domicile or registered office
- Name and address of real estate agency (if necessary)
The tenant remains in the premises and sees his lease continue under the same conditions with this new owner.
- Act No. 89-462 of July 6, 1989 on rental reports: Article 15Empty Housing
- Act No. 89-462 of July 6, 1989 on rental reports: Article 25-8Furnished accommodation
FAQ
- What are the rules of a "mobility lease"?
- Can a landlord sell a dwelling inhabited by a tenant?
- What is the penalty for fraudulent notice given by the owner?
- Furnished or empty rental: what differences?
- What are the different types of rental of furnished accommodation?
- Housing lease: can we send your notice (leave) by email?
- Purchase or sale of housingService-Public.fr
- Property rental: end of leaseService-Public.fr
- Notice and formalities given by the owner (lessor)Service-Public.fr