Selling a Rented Property in Nova Scotia
What happens to the tenant, the deposit and your showings when a Nova Scotia landlord sells.
Last updated: October 2026
Short answer
In Nova Scotia a sale does not end a tenancy; the buyer takes over the lease and the deposit. A buyer who will move in can use Form DR2 only for buildings of 4 or fewer units, with at least 2 months' notice.
The tenancy continues when you sell in Nova Scotia
Selling the building does not end the lease. The Residential Tenancies Act has no section that ends a tenancy because the property changes hands. A landlord can only give a notice to quit on the grounds the Act allows (s. 10(3A)), and a sale on its own is not one of the general grounds. Residential Tenancies Act
The same is true if a landlord dies. The Act's definition of landlord includes the landlord's heirs, assigns and legal representatives, so the tenancy continues with them.
In practice, a buyer who wants the unit empty has two choices: buy with the tenant in place, or use the narrow sale ground in the Act, which is covered below. If you plan to sell, tell buyers up front that the lease, the rent and the deposit come with the property.
What the buyer takes over: lease, rent and deposit
The buyer steps into your place as landlord.
- The security deposit. On a sale or transfer, the tenants' security deposits are deemed transferred to the new landlord, who becomes responsible for them (s. 12(14)). The Regulations also require you to transfer your trust account to the new landlord, together with all records and statements of the account (s. 21). The Renting Guide puts it simply: the trust account stays with the property, not with the landlord. Residential Tenancies Regulations
- The lease terms. Written or oral, the tenancy runs on the same lease. A fixed term stays a fixed term.
- Rent and increases. Nothing in the Act lets a sale reset the rent. The rules on increases bind "a landlord", and that includes people who take over. No increase is allowed in the first 12 months of a lease or more than once in 12 months, and an increase needs 4 months' written notice for a month-to-month or year-to-year lease. For 2026 and 2027 the interim cap is 5 percent a year for existing tenants. No official page states in plain words that a new owner is bound by the existing rent, so treat that as the way the Act is built, not as a quoted rule. See raising rent in Nova Scotia.
Give the buyer the lease, any condition report and the deposit records. Those records are what makes the trust account transfer clean.
When the buyer wants to move in: Form DR2
Nova Scotia has no general no-fault notice. The one sale ground is in s. 10AA and uses Form DR2. The research notes record these conditions:
- The building has 4 or fewer units.
- The buyer, or the buyer's family, will move in.
- The effective date of the notice must be no earlier than 2 months after the tenant receives it.
- The sale conditions must be satisfied, and an affidavit is part of the process. The Ending a Tenancy guide lists the details.
A tenant who gets a DR2 may leave sooner by giving at least 10 days' notice. If the building has more than 4 units, the DR2 ground does not apply, and the tenant stays.
Moving in without the DR2 process is not a safe shortcut. Own or family use by a landlord needs an application to the Director and an order, not a notice alone, and a landlord can give a notice to quit only on the grounds the Act lists. The related ground is explained in landlord wants to move back into the property. For notice forms in general, see ending a tenancy as a Nova Scotia landlord.
One more case: if a property is foreclosed or sold under execution, the tenant may stay on the same terms until the earlier of 3 months after the party now entitled to possession gives a notice to quit, or the date the tenancy ends under its terms (s. 10(9)).
Showings, agents and open houses
Showings use the normal entry rules. A landlord may enter if the notice is in writing, states a reasonable purpose, gives a date and time between 8 a.m. and 8 p.m. (unless the tenant agrees otherwise), and is given at least 24 hours and not more than 30 days before the entry (Statutory Condition 7).
- Give written notice for each showing, with the purpose and the time.
- Let the agent in. The Renting Guide says a real estate agent needs to be allowed to enter when a landlord is selling a unit, and the agent may be asked to show proof of authorization from the owner.
- Get the tenant's consent before any open house. The guide says an open house can only be held with the tenant's consent. Renting guide
The Renting Guide still says "daylight hours" in places. The Act's Statutory Condition 7 sets 8 a.m. to 8 p.m., and that wording is the legal rule. Entry rules in more detail are in are landlords allowed to enter the property and when a tenant refuses entry.
What you cannot do when selling
- End the tenancy to deliver it vacant unless a ground in the Act applies, such as the DR2 sale ground or an order for demolition, renovation or own use.
- Change the locks during the tenancy without the tenant's consent (Statutory Condition 8), or bar the tenant's free access (s. 5A).
- Enter without proper notice except in an emergency, with consent, or if the unit appears abandoned.
- Hold an open house without the tenant's consent.
- Keep the deposit for yourself. It passes to the buyer, and the trust account records go with it.
If a dispute does arise, an application to the Director on Form J costs $31.15. A tenant who thinks a landlord acted in retaliation for asserting rights can ask the Director or the Small Claims Court to set a notice aside (s. 20).
This guide explains the rules in general terms; for a specific case, ask the tribunal or a licensed legal professional.
Frequently Asked Questions
Does a tenant have to move out when I sell in Nova Scotia?
No. The tenancy continues with the buyer. The only sale ground is s. 10AA with Form DR2, for buildings of 4 or fewer units where the buyer or the buyer's family will move in.
What is Form DR2?
It is the landlord's notice for a sale where the buyer or the buyer's family will occupy a building of 4 or fewer units. The effective date must be no earlier than 2 months after the tenant receives it.
What happens to the security deposit when the building sells?
It is deemed transferred to the new landlord, who becomes responsible for it. The seller must also transfer the trust account and all its records and statements to the buyer.
Can the new owner raise the rent right away?
The ordinary increase rules still apply: no increase in the first 12 months of the lease, no more than once in 12 months, 4 months' written notice for month-to-month and year-to-year leases, and the 5 percent interim cap for 2026 and 2027 for existing tenants.
Can the tenant leave early if I use Form DR2?
Yes. A tenant who receives a purchaser-to-occupy notice may leave by giving at least 10 days' notice.
Can a real estate agent show the unit?
Yes, with proper written notice. The Renting Guide says an agent must be allowed in when the unit is being sold, and may be asked for proof of the owner's authorization.
Do I need the tenant's consent for an open house?
Yes. The Renting Guide says an open house can only be held with the tenant's consent.
What if the landlord dies?
The tenancy continues. The Act's definition of landlord includes heirs, assigns and legal representatives, and no section ends a tenancy because the landlord dies.
Sources
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