When a property is sold with a tenant in place, the purchase and sale agreement should address how tenant deposits and pre-paid last month’s rent will be transferred to the buyer.  The buyer will need a copy of the original move in inspection report.  Without one, the tenant cannot be charged for any cleaning required at move out or for any damage done to the property. 

The seller must inform the tenant in writing that the deposit is being transferred to the buyer and the new landlord is responsible for informing the tenants of the Washington State bank and branch where the tenant’s deposits will be held in trust.  The new owner will be responsible for refunding any deposit owed the tenant at move out, per the terms of the lease, even if funds aren’t transferred at closing.

We are here to help you and your clients with all aspects of the rental market. Please contact us for further assistance!

Nothing found herein should be construed as an attempt to offer or render a legal opinion or otherwise engage in the practice of law. You should not rely solely on this information. We encourage our clients to work with a lawyer experienced in commercial and/or residential real estate matters as they can be complicated and confusing.

About Coldwell Banker Bain Property Management

As residential property managers for Coldwell Banker Bain Property Management Division, we manage single family residences, individual condominium units and small apartment complexes in the greater Puget Sound region. We serve Seattle, Tacoma, Anacortes, Marysville, Bainbridge Island, Lynnwood, Everett, Redmond, Bellevue and many other cities in Washington State. We also offer full service commercial property management services.
This entry was posted in Did you know.... Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.