Be Aware, Cautious and Prepared

Ending Tenancy after Sale
You have just purchased a home in Vancouver and intend to live in it once the deal is completed. In the eyes of the Residential Tenancy Act, you become an “owner-occupier” and if this home is currently occupied by a renter you are entitled to end the tenancy. There are some things you should know about the procedure.
When an owner-occupier purchases, she must send a letter to the current landlord, on or before the effective date of the notice. The landlord (or the new owner-occupier) is required to pay the current tenant one month’s rent, plus give 60 days notice, served by the end of month.
In this situation, upon receiving this notice, the tenant, on the other hand, only has to give 10 days notice before ending the tenancy.
Often it becomes a negotiation point at the time of sale, deciding who should pay that one month’s rent – the new owner-occupier, or the seller.
There can be a downside to all this for landlords. If you are counting on the rent, and, say, the deal closes August 1, you will need to request in writing to the current owner to serve notice. However, if the tenant immediately after receiving this notice, gives 10 days notice and leaves after the 10th day of the month, the result to you would be a loss of revenue, in addition to the one month rent penalty. In the light of this potential loss of revenue, landlords need to be aware, cautious, and prepared.