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SELLER GUIDE

Selling a Condo With a Tenant in Québec: What the Buyer Inherits

In Québec, selling a rented condo doesn't end the lease. How lease takeover, repossession notices and timing work for sellers, buyers and investors.

By Jacob Sassoon, Real Estate Broker (OACIQ #J6466) · SASSOON.

Updated November 10, 2026 · 7 min read

Many owners assume that when a condo sells, the tenant leaves. In Québec, that is not how it works. A sale does not end a lease, and a buyer cannot simply take the unit.

This guide explains, in plain language, what a buyer inherits when they buy a rented condo, what the rules are if they want to move in, and what sellers and investors should do about it.

A sale doesn't end the lease

According to the OACIQ, the sale of a building does not affect the tenant's right to stay, and the new owner must respect it. Three things follow:

  • The buyer takes over the existing lease. The tenant keeps the right to stay.
  • The lease renews automatically at term. It renews for the same period, or for 12 months if the original term was longer than a year.
  • The tenant can't give up that right in advance. A clause saying the tenant leaves on sale has no effect.

This is why a rented unit is a different product from a vacant one. A listing may say that the sale is subject to the existing lease and that vacant possession is not guaranteed. That wording is accurate, and a buyer should read it as the headline.

If a buyer wants to move in

A buyer can only move in through repossession, and it comes with strict rules:

  1. Only at the end of the lease. Repossession takes effect when the lease expires, not in the middle of the term.
  2. The owner must be a natural person. The OACIQ is clear that a company cannot repossess a unit, even when one person owns all of its shares.
  3. Only for the owner or close family. The Tribunal administratif du logement (TAL) lists the owner, a parent or child, and certain other relatives or in-law connections, among others.
  4. Notice at least 6 months before the lease ends, for a lease longer than 6 months.
  5. The tenant has 1 month to answer. Silence counts as a refusal to leave.
  6. The owner then has 1 month to apply to the TAL.

The TAL can attach conditions, including compensation equal to the tenant's moving expenses. If a repossession turns out to be in bad faith, the tenant can claim damages.

The timing trap

This is where plans fail. A buyer can only send the repossession notice once they are the owner. The TAL says the new owner is responsible for repossession once the sale is finalized, and that this is not the signing of a promise to purchase. The OACIQ says the buyer must sign the deed of sale before sending the notice, and recommends having the sale published at the land registry first.

The OACIQ gives an example: for a lease ending June 20, the sale must be published by December 31 of the previous year. Miss that window and the buyer may have to wait an additional year.

If you are a buyer who wants to occupy the unit, the lease end date is part of the price. Work backwards from it before you make an offer.

Protected tenants

Québec protects certain tenants from repossession. The rules look at the tenant's age, how long they've lived in the unit and their income, and they were updated in 2024. I won't quote thresholds here, because they depend on when the notice is sent and on the specific situation. If the tenant may be protected, check the current TAL rules before you rely on repossession.

If you're selling a condo with a tenant

You have two real choices, and a third that makes both easier.

  • Sell with the tenant in place. Your buyer is an investor, or someone who can wait for the lease to end. The rent in place is part of the value.
  • Wait for the lease to end. More buyers can bid on a vacant unit, but you carry the costs until the term ends, and a renewal may mean it never ends.
  • Put everything on the table early. The lease and its renewal, the building's documents and any special assessment. A buyer who finds a surprise late in the process asks for a discount or walks away.

Price for the buyer you will actually get, not for the one you wish you had.

If you're buying to rent

For an investor, the tenant is the income. A few points I go through first:

  • Read the lease and the renewal. Rent, term and end date decide your income and your options.
  • Make the promise to purchase conditional on a review of the documents. The OACIQ recommends making a promise to purchase an income property conditional on a review of the leases.
  • Run the net numbers, not the gross ones. Condo fees, property taxes and vacancy come off the rent before you see a return.
  • Check the building. The budget, the minutes and the contingency fund study show whether a special assessment is coming.

Frequently asked questions

No. According to the OACIQ, the sale of a building does not affect the tenant's right to stay, and the new owner must respect it. The lease also renews automatically at term, for the same period or for 12 months if the original term was longer than a year.

Only through repossession, and only at the end of the lease. The buyer must be a natural person, and the unit must be for themselves or certain close relatives. For a lease longer than 6 months, notice is due at least 6 months before the lease ends.

After the sale is finalized. The Tribunal administratif du logement says the new owner is responsible for repossession once the sale of the building is completed, not when the promise to purchase is signed. The OACIQ adds that the buyer must sign the deed of sale before sending the notice.

The tenant has 1 month from receiving the notice to answer, and silence counts as a refusal. The owner then has 1 month to apply to the Tribunal administratif du logement. The Tribunal can set conditions, including compensation equal to the tenant's moving expenses, and bad-faith repossessions can lead to damages.

No. According to the OACIQ, the owner must be a natural person. Even the sole shareholder of a company that owns the building cannot repossess a unit for himself.

No. The OACIQ notes that tenants cannot waive their right to remain in advance, so a clause like that has no effect.

Yes. Québec protects certain long-term, older, lower-income tenants, and the details changed in 2024. If the unit you're looking at has a long-term older tenant, check the current rules with the Tribunal or a lawyer before you build a plan around moving in.

Selling or buying a rented condo in Greater Montréal?

I work with sellers, buyers and investors across Greater Montréal, and I go through the lease and the timeline with you before you list or make an offer. Message me or call 514-886-8998, or book a time at sassoon.cc.

Call 514-886-8998Book a time

This article is general information, not legal advice. Your notary or lawyer, the Tribunal administratif du logement and the Civil Code govern your specific situation, and rules can change.

Sources

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