Sell a rental property with tenants in Florida

The rule that governs everything: the lease survives the sale

Start here, because it settles most of the questions that follow. In Florida a valid written lease runs with the property. Selling the house does not terminate it, and the buyer steps into the landlord’s shoes for the remaining term at the existing rent. Your tenant does not have to move because you sold, and you are not required to deliver the property empty unless the contract you sign says so.

That is why we buy occupied. Asking a seller to clear a unit before closing is asking them to spend months and money on a property they are trying to leave. It is also the reason so many worn-out landlords stall: they believe they have to empty the place first, so they do nothing for another year while the roof gets older.

The estoppel letter, and why we ask for it

A tenant estoppel letter is a short document the tenant signs confirming the actual terms of the tenancy: the rent, the term, the deposit amount held, whether rent is current, whether there are side agreements or promises about repairs, and whether any concessions were made. It exists because leases and reality drift apart. A verbal agreement to reduce rent for handling the yard, a deposit partly applied to a late month, a pet added after signing, none of it appears in the original document.

Where the security deposit goes

The deposit is the tenant’s money, and Florida law treats it that way. At closing the deposit and any accrued interest transfer to the buyer, normally as a credit on the settlement statement, and the buyer becomes responsible for holding and eventually returning it. Florida also requires that the tenant be notified of the transfer and of who now holds the deposit, and we handle that notice as the incoming owner. Bring your deposit records to the table, because a deposit that was never properly held or accounted for is one of the few things that genuinely complicates a rental closing.

Month to month, and tenants at the end of a term

A month-to-month tenancy is different from a lease with time remaining. It continues after the sale, but either side can end it with written notice under Florida law, and the required notice period for month-to-month tenancies was lengthened in recent years, so check the current requirement rather than relying on the old thirty day habit. Notice must be in writing and delivered properly. If you are near the end of a fixed term, tell us, because a lease expiring in two months and a lease with fourteen months left lead to different plans, and neither one prevents a sale.

The tenant who is not paying

Here is the honest arithmetic. A Florida eviction for nonpayment starts with a three day notice that excludes weekends and legal holidays, then a complaint filed in county court, then five days for the tenant to respond, and a response drags the case into a hearing. Add a writ of possession and the sheriff’s schedule at the end. Uncontested and clean, that is often three to six weeks. Contested, in a busy Miami-Dade or Broward division, it stretches considerably longer, and you pay filing fees, service, and usually an attorney while collecting nothing.

You do not have to run that process before selling to us. We buy the property with the tenant in place and take on whatever comes next. If you would rather resolve it yourself first, that is a legitimate choice, but it should be a choice you make on purpose, not one you feel forced into.

When keeping it is the better call

If the tenants pay on time, the roof and the air conditioning have years left, and the rent comfortably covers the note, taxes, and insurance, keep the property. A performing rental in South Florida is a good asset and no cash offer beats it. What we buy is the other version: deferred maintenance you are not going to fund, an insurance renewal that jumped, a special assessment, a tenant situation you are done managing, or simply distance and fatigue. See how the number is built on our cash offer page, or call (786) 940-9908 and describe the property and the tenancy.

This page is general information about how sales like these usually work in Florida, not legal or tax advice. For your own case, talk to a Florida attorney or your accountant.