When your rental is put up for sale
Imagine this: you’ve just moved into a new rental, unpacked your boxes, and are starting to feel at home. Then, unexpectedly, your landlord lets you know the property is going on the market.
Our client Sam, had this happen not long after moving into a rental in Melbourne. “I felt blindsided,” he explained. “I’d only just moved in, and suddenly I was worried about constant inspections, strangers walking through my home, and whether I’d even be allowed to stay.” What are Sam’s rights and options?
In Victoria
Sam signed a 12-month lease for a renovated unit in Melbourne. Two months later, he was told it would be sold.
• Fixed Lease: Stays in place, even if the property changes hands.
• Inspections: Landlord must give at least 24 hours’ written notice, within 8am–6pm (not on public holidays).
• Compensation: If the Mandatory Disclosure Statement (attached to the lease) didn’t note the intention to sell, tenants are potentially able to claim compensation for disruption and for not being advised. Compensation for each inspection is $30 or ½ days rent, whichever is greater.
• Ending early: If sold within the first 6 months, and Sam wasn’t told before signing, he could leave without lease-break fees.
In Queensland
If the same had happened to Sam in Queensland.
• Fixed Lease: Continues under the new owner.
• Notice: Landlord must give 2 weeks’ notice before marketing the property.
• Inspections: At least 24 hours’ written notice is required for each entry. Open homes need Sam’s written consent.
• Compensation: Sam could request compensation for repeated disruptions.
• Ending early: If he wasn’t told the property was for sale before signing, he could end the lease with 2 weeks’ notice, without penalty.
In South Australia
The following would apply in South Australia.
• Fixed Lease: Remains valid; the new owner takes over.
• Notice: Landlord must give reasonable notice before first advertising, then at least 7 days’ notice before the first inspection, and 24 hours’ notice for each inspection afterwards.
• Open inspections: Only with Sam’s consent.
• Compensation: Available if sales activity caused unreasonable disruption.
• Ending early: If not told before signing, Sam could give 28 days’ notice to end the lease early without costs.
Lessons from the Case
The fixed lease continues even if the property sells – which gives some stability. But the rules around inspections, notice periods and leaving early differ.
• Victoria – shorter notice for inspections, early exit rights only if within the first 6 months from lease state date.
• Queensland – stronger upfront disclosure (2 weeks’ notice before marketing), open homes only with written consent, early exit with 2 weeks’ notice.
• South Australia – longer notice requirements (7 days before the first inspection), stricter rules around consent for open inspections, early exit with 28 days’ notice.
Takeaway for Renters
If your property is being sold soon after you move in:
• Check your state’s laws – requirements differ between Victoria, Queensland and South Australia.
• Know your rights – your lease continues, you’re entitled to fair notice, and you may have options to leave early without penalty. Seek compensation and consideration for each sales inspection.
• Document everything in writing – inspection schedules, compensation claims, and consent for open homes.
• Get advice – from your state’s tenancy authority or local tenants’ advocacy service.
Your Home Hunter Tip
Wherever you live, renters have protections when a property is sold. Your fixed lease remains valid, do not be misled by the sales agent and coerced into accepting money for an early vacate. The exact rules – how much notice you get, whether open inspections can be forced, and how easily you can leave early – vary by state. Knowing your rights means you can respond confidently if it happens to you.
For more information on dealing with your landlord’s plans to sell, including tips on securing a new home, contact Your Home Hunter.