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Can I Evict My Tenants When I Sell A Property?

No, you can’t evict tenants just because you’re selling. Eviction is only legal if the buyer or their immediate family intends to move into the rental property.

When Eviction Is Allowed

  • Personal use: The purchaser, their spouse, child, parent, or caregiver must genuinely intend to live in the property.
  • End-user buyers: If the property is sold to an end user who plans to live in the unit (or their immediate family does), the tenant may be evicted with proper notice and compensation.
  • Proper notice: Landlords must serve a Form N12 at least 60 days before the termination date, which is typically aligned with the end of a rental period or lease term.
  • Compensation: Tenants are entitled to one month’s rent or another acceptable rental unit.

When Eviction Is Not Allowed

  • Investor buyers: If the purchaser is buying as an investment, they must assume the existing tenancy.
  • No valid grounds: Selling alone is not a legal reason to evict.

Why Compliance Matters

  • LTB oversight: Improper notice or missing compensation can make the eviction invalid.
  • Tenant rights: Tenants may challenge an N12 at the Landlord and Tenant Board if they believe it was issued in bad faith.
  • Reputation: Following the law fosters smoother sales and protects landlords from costly disputes.

The Fox Marin Team helps landlord clients navigate the sale of tenant-occupied properties, ensuring compliance with Ontario’s Residential Tenancies Act and reducing risk for both sellers and buyers.

 


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