Selling a Rented Property in Saskatchewan

The Residential Tenancies Act, 2006 treats a buyer as a "new landlord". That includes anyone who becomes the owner of a property that already has tenancies in place. The new landlord has the same rights and obligations as you did, is treated as knowing about every existing agreement, and is substituted into those agreements as if the buyer had signed them. The Act lists no sale among the ways a tenancy ends, so a closing date alone gives neither you nor the buyer a right to ask the tenant to leave.

That has a practical effect on how you list and sell. A listing that promises vacant possession on a date is a promise you may not be able to keep with a sitting tenant. Tell any buyer about the tenancy at the start, and give them the facts early: the rent, the lease term, the deposit and any rent increase already served.

The same continuity applies if a landlord dies. The Act defines "landlord" to include heirs, personal representatives and successors in title, and nothing in it ends a tenancy on the landlord's death.

• Lease terms and rent. The existing rent and terms continue. A fixed term runs to its end date, and a monthly tenancy carries on.
• Security deposit and interest. They pass to the buyer. On the day the buyer becomes the landlord, you must immediately hand over the copies of all written tenancy agreements and transfer the deposits you hold in trust.
• Rent increases. The normal rules apply to the new owner. The Act does not say in words whether the 12 month clock between increases restarts on a sale. The research reads it as not restarting, but that is an inference, so ask the ORT before a buyer plans an increase around it.
• Existing problems. A hearing officer may keep you, the former landlord, liable for existing obligations instead of the buyer if it would be unjust to make the buyer liable.

Hand over a clean file: the signed agreement, the deposit record, any notices served and any ORT orders. Then the buyer can show that they took the tenancy as it stood. For deposit rules in more detail, see the landlord guide to Saskatchewan security deposits.

You may bring a prospective purchaser into the unit if you give the tenant 24 hours' notice or the tenant agrees. Visits may only happen between 8 a.m. and 8 p.m., and not on a Sunday or on a day of religious worship for the tenant.

Other entry has its own rule. For a reasonable purpose such as a repair or inspection, give written notice at least 24 hours and no more than seven days ahead, naming the purpose, the date and a window of no more than four hours between 8 a.m. and 8 p.m. A tenant who improperly refuses lawful entry gives you a ground for a notice to end the tenancy. Even so, heavy showing schedules can sour a good tenancy, so offer a few set windows. More detail is in the Saskatchewan entry guide and this Ask page on entry.

For a periodic tenancy such as month to month, the Act has a sale ground. If the purchaser asks for the notice, and the purchaser or a family member will occupy the unit, the landlord can end the tenancy on one month's notice. The notice period runs from when the tenant receives the notice, not from when you send it. Landlords commonly prepare this notice, but the purchaser's request is what triggers it.

1. Confirm the tenancy is periodic. The research found no right to end a fixed term early because of a sale.
2. Get the purchaser's request and the intended occupant in writing.
3. Serve the notice on the approved form. It must be in writing, dated, show it comes from the landlord, give the unit's address and the effective date, and state the grounds.
4. Expect the tenant to have 15 days to dispute in writing. If they do, you must apply to the ORT and prove you are entitled to end the tenancy. If they do not, they are treated as accepting the end date.

If the buyer later does not use the unit as stated, the tenant can apply for compensation, and re-renting on other grounds is an offence with a fine of up to $300 for an individual. See the landlord guide to ending a tenancy in Saskatchewan for the general notice rules.

• You cannot lock the tenant out to deliver vacant possession. A lockout without justification can lead to punitive damages and fines.
• You cannot retake possession without the tenant leaving or an ORT order of possession and a sheriff's writ.
• You cannot treat a sale as a reason to raise the rent outside the usual notice and timing rules.
• A notice with the wrong effective date is not void, but it takes effect on the earliest date that complies, which may be later than the date the buyer needs.

If a tenant will not leave after a valid notice, the route is an application to the ORT. See what to do if a tenant refuses to move out.

1. Tell the buyer about the tenancy in writing and give the buyer the lease, rent history and any notices served.
2. Check whether a rent increase notice has been served and when it takes effect.
3. Agree who holds the deposit, then transfer it with its records on the day of closing.
4. Send the tenant a short written note on the closing date saying who the new landlord is and where to pay rent. The research found no rule requiring a formal notice of sale, so this is good practice, not a legal step.
5. Keep copies of everything you handed over.

If the buyer wants the unit vacant, the buyer should check the sale ground above before making the purchase conditional on vacancy. This guide explains the rules in general terms; for a specific case, ask the tribunal or a licensed legal professional.