When to Give Notice When Selling a Tenanted House in Ontario

There seems to be a lot of confusion when it comes to how and when to give a tenant notice to vacate when selling a tenanted home in Ontario.

You can only give a tenant notice to vacate (using form N12) when you have a firm agreement of purchase and sale in place with instructions from the purchaser that they (or a family member) will be occupying the home. On the N12 form you choose “Reason #2” which specifies the purchaser will be occupying the home.

If the buyer is not planning on occupying the home then the tenant cannot be evicted and the tenancy must be assumed by the purchaser.

Manly landlords and agents mistakenly think they can give the tenant notice when they list the house for sale. You can ask the tenant to leave as there life is going to be disrupted with showings, but you cannot demand it.

If you have questions about the residential tenancy legislation consult with a professional who is knowledgeable about landlord and tenant issues. Making a mistake could be costly!