I’m selling my mom’s house as her POA because she now has Medicaid and is in a nursing home. My mom has a tenant who’s lease doesn’t end until September. Is the tenant’s lease broken if the house is sold before September?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
I’m selling my mom’s house as her POA because she now has Medicaid and is in a nursing home. My mom has a tenant who’s lease doesn’t end until September. Is the tenant’s lease broken if the house is sold before September?
The tenant signed a lease with my mom, but not with me. The realtor says the
original lease will be broken when the house sells because the tenant has no
lease with me. Is this right?
Asked on June 14, 2017 under Real Estate Law, Virginia
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 7 years ago | Contributor
The realtor could not be more wrong.
1) Having a power of attorney merely means you are legally entitled to act as your mother's agent or representative; it does not replace her with you on leases, contracts, etc. She is still the lessor and the lease is still with her and still in effect (at least for the duration of its term).
2) When there is an in-effect (unexpired) lease and the property is transferred (other than by a foreclosure and sheriff's sale, which has special rules), the lease remains in effect and the transferee takes the property subject to the lease. So even if you used your POA to transfer the property to yourself before otherwise selling it (e.g. quitclaimed it), the lease (and tenant) goes with the property; and when you sell the property, if the lease has not expired, the buyer purchases a property with a lease and tenant.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.