Lease termination due to sale of property, tenants have not taken possesion of property

[rcpittman]

Florida

I have a signed lease, however the tenant does not have a copy of it yet. The tenant is scheduled to take possession on August 1, 2019. No money has been exchanged (deposit or first months rent). A firm offer has been made by a buyer to buy the house. Therefore, I do not want to move forward with the lease; I want to sale the house instead. Is the lease binding? Can I sale the house and not honor the lease? What are my options?

Thank you,
Concerned

 

[justalayman]

The lease is signed so you are the proud parent of your very own tenant.


Maybe if you offered the tenant a bunch of money they won’t be allowed to move in, like the contract says they can.

 

[LdiJ]

The lease is signed so you are the proud parent of your very own tenant.


Maybe if you offered the tenant a bunch of money they won’t be allowed to move in, like the contract says they can.

That is assuming that the OP has also signed the lease. That might not be true if the tenant does not yet have a copy. The fact that no money has yet to exchange hands tends to indicate that the lease is not finalized.

OP needs to run it by a local real estate attorney. He also needs to find out whether or not his prospective buyer prefers to have a tenant in place or not.

 

[rcpittman]

Clarity; I have the signed lease from the tenant, however the tenant does not have a copy of the lease signed by both parties. Again, is it binding?

 

[LdiJ]

Clarity; I have the signed lease from the tenant, however the tenant does not have a copy of the lease signed by both parties. Again, is it binding?

You are prevaricating. Run it all by a local real estate attorney.

 

[FarmerJ]

Did this tenant pay you a application -credit check fee ? if they did plan on refunding the tenants fees. AS to the lease you have. Talk to your real estate attorney!

 

[rcpittman]

Did this tenant pay you a application -credit check fee ? if they did plan on refunding the tenants fees. AS to the lease you have. Talk to your real estate attorney!

No fees - no cost for credit check. The OP has not paid anything to date.

 

[justalayman]

That is assuming that the OP has also signed the lease. That might not be true if the tenant does not yet have a copy. The fact that no money has yet to exchange hands tends to indicate that the lease is not finalized.

OP needs to run it by a local real estate attorney. He also needs to find out whether or not his prospective buyer prefers to have a tenant in place or not.

Op said the lease is signed. I took him at his word

 

[LdiJ]

Op said the lease is signed. I took him at his word

Admittedly I have dealt with a lot more commercial leases than residential leases but landlords have a tendency to leave themselves an "out" by having the prospective tenant sign everything before they do. Some of them even try avoiding giving the tenant a copy of the fully executed lease.

The OP has avoided giving a straight answer.

 

[justalayman]

Admittedly I have dealt with a lot more commercial leases than residential leases but landlords have a tendency to leave themselves an "out" by having the prospective tenant sign everything before they do. Some of them even try avoiding giving the tenant a copy of the fully executed lease.

The OP has avoided giving a straight answer.

That’s because they are trying to find a way to void the existing lease by some trickery.

Leases do come in verbal flavor too. A commitment by both parties with the terms known and agreed to can be an enforceable lease in itself.

 

[LdiJ]

That’s because they are trying to find a way to void the existing lease by some trickery.

Leases do come in verbal flavor too. A commitment by both parties with the terms known and agreed to can be an enforceable lease in itself.

Yeah but verbal leases are very difficult to prove and even harder to prove when there is a written version signed by one of the parties.

 

[justalayman]

Yeah but verbal leases are very difficult to prove and even harder to prove when there is a written version signed by one of the parties.

So to defeat the concern of a verbal lease the op gets to pull out the written lease.

Game, set, match

 

[Litigator22]

Florida

I have a signed lease, however the tenant does not have a copy of it yet. The tenant is scheduled to take possession on August 1, 2019. No money has been exchanged (deposit or first months rent). A firm offer has been made by a buyer to buy the house. Therefore, I do not want to move forward with the lease; I want to sale the house instead. Is the lease binding? Can I sale the house and not honor the lease? What are my options?

Thank you,
Concerned

There is saying in the game of golf that when putting the player should avoid falling in love with the intended line/direction of the putt and ignore the distance of the putt!

And here let me caution you not to fall in love with the fact that the lessee doesn't have a copy showing your signature and ignore a fundamental principle of contract law - offer and acceptance.

Since it would be most unusual for a prospective lessee to be dictating the terms of a proposed lease (much less preparing and submitting a proposed written agreement), you as the owner of the home assuredly did so. And the doing so constituted the presentation of an offer to lease your home on terms as stated.

So when the other party as lessee signed the document that you submitted and before it was withdrawn your offer was accepted. Ergo, the bargain was struck which become legally and mutually binding.

However, there is one catch (not a "22" maybe like a 14) by which your metaphorical "love affair" might bear fruit. And that is that if the lease term is for more than one year, it cannot be enforced against you unless you have also signed the document. (See: Florida's Statutes of Fraud F. S. 725.01)

 

[Just Blue]

Clarity; I have the signed lease from the tenant, however the tenant does not have a copy of the lease signed by both parties. Again, is it binding?

Yes. There is a signed contract. Don't be a jerk...offer YOUR tenant cash to cancel the lease. $1, 500.00 is a fair amount for the trouble you are putting tenant through.

 

[ryanlin]

The sale of a property does not change the lease unless it is mentioned in the lease. You can't break the lease that the tenant has signed. But you can request the tenant.