If your rental home in Manitoba is sold, your existing lease agreement remains completely valid. The new owner automatically becomes your new landlord, and they can only evict you if they or their immediate family intend to move into the property. Even then, they must give you proper written notice according to the Residential Tenancies Branch (RTB) rules.
Finding out that your landlord is selling the house or apartment you live in can be highly stressful. 🚨 Many renters immediately worry that they will be forced to pack up and leave on short notice. Fortunately, landlord and tenant rights in Manitoba strongly protect renters during a property sale. Your tenancy does not automatically end simply because the building changes hands.
In this guide, we will explore exactly what happens to your lease, your security deposit, and your daily life when your rental property is sold. Whether you live in a bustling neighbourhood in Winnipeg or a quiet street in Brandon, the rules set by the Residential Tenancies Branch (RTB) apply equally to you. If you are facing an unfair eviction from a new buyer, we politely suggest reaching out to a local law firm from our directory for professional guidance.
Step-by-Step Process: What Happens When Your Rental is Sold in Manitoba
The transition from one property owner to another involves specific legal steps. 📍 As a tenant, understanding this process helps you protect your home and ensure your rights are respected across Manitoba, from Portage la Prairie to Thompson.
Step 1: Accommodating Property Viewings
Before the property is sold, your current landlord will likely need to show it to potential buyers. By law, your landlord must provide you with at least 24 hours of written notice before entering your unit. You cannot unreasonably refuse entry, but the viewings must happen at reasonable times (usually between 9:00 AM and 8:00 PM).
Step 2: Transferring the Lease and Security Deposit
Once the property is legally sold, your existing lease agreement transfers directly to the new owner. 📄 You do not need to sign a new lease, and the new landlord cannot unilaterally change the terms or increase your rent beyond the provincial guideline. Furthermore, the seller must transfer your security deposit (with any accumulated interest) to the new owner.
Step 3: Reviewing a Notice to Move (If Applicable)
If the new owner buys the property as an investment, your tenancy continues as normal. However, if the buyer (or their immediate family) intends to move in, they can ask the current landlord to serve you with a Notice to Move for Purchaser’s Own Use. You must receive this official RTB form properly filled out; a simple text message or verbal warning is not legally valid.
How Much Does it Cost to Defend Your Rights in Manitoba?
If you believe a new owner is acting unlawfully, defending your rights is generally very affordable. 💵 The Residential Tenancies Branch is designed to be accessible to everyday citizens without requiring massive legal fees.
- RTB Dispute Filing Fee: Participating in an RTB hearing is free for tenants. However, if you need to file a formal Tenant Claim for Compensation (for example, to recover moving costs or claim bad faith), the mandatory RTB filing fee is $50.00 CAD, which is refunded by the landlord if you win.
- Consulting a Lawyer: If you choose to hire a local law firm for advice, initial consultations usually range from $150 to $300 CAD.
- Moving Costs: If you are legally required to move because the purchaser intends to personally occupy the unit, you do not bear all the costs alone. Under Manitoba’s The Residential Tenancies Act, the landlord is legally required to compensate the tenant for actual and reasonable moving expenses up to a maximum of $500.00 CAD. Actual moving expenses beyond this limit can range from $500 to $2,000 CAD.
| Potential Expense | Estimated Cost (CAD) | Who Pays? |
|---|---|---|
| Filing an RTB Claim for Compensation | $50 | Tenant pays upfront (refundable if the tenant wins) |
| Lawyer Consultation | $150 – $300 | Tenant (Optional) |
| Security Deposit Transfer | $0 | Old Landlord pays New Landlord |
| Moving Cost Compensation | Up to $500 | Landlord or Purchaser pays the tenant |
Remember, the new landlord cannot demand an additional security deposit from you if you have already paid one to the original owner.
How Long Does the Process Take?
If the new owner wishes to move in, they cannot simply ask you to leave next week. 🕑 The amount of notice you are legally entitled to receive is strictly regulated based on your tenancy type and local vacancy rates:
- Month-to-Month Tenancy: If the vacancy rate in your community is below 3%, you must be given at least 3 months of written notice. If the vacancy rate is 3% or higher, the required notice is only 1 month.
- Fixed-Term Tenancy: You must receive at least 3 months of written notice, and the notice must be timed to coincide with the end of your lease term. The new owner cannot evict you in the middle of a fixed-term lease.
Frequently Asked Questions (FAQ)
Do I have to sign a new lease with the new owner?
No, you do not have to sign a new lease. Your current lease automatically transfers to the new owner under the exact same terms, including the rent amount and whether pets are allowed.
Can the new owner raise my rent immediately?
No. The new landlord must follow the same rules as the old one. They can only increase your rent once every 12 months, and they must provide 3 months of written notice using the official RTB form.
What happens to my security deposit when the house is sold?
Your previous landlord is legally required to transfer your security deposit, plus any required interest, to the new owner. When you eventually move out, the new owner is responsible for returning it to you.
Can I break my lease early if the house is sold?
Simply selling the house is not grounds for you to break a fixed-term lease. However, if the constant viewings are disruptive, you might be able to negotiate a mutual agreement to end the tenancy early with your landlord.
What if the new owner evicts me to move in, but rents it out again?
This is considered an eviction in bad faith. If you discover the new owner re-rented the unit instead of moving in, you can file a claim with the RTB for compensation, which may include moving expenses and higher rent costs.
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