You may have been hearing stories about unscrupulous owners ‘throwing out’ – that is, evicting – their tenants because the property is being sold.
However, unless the eviction is justified – for instance, you are occupying the premises illegally or don’t pay your rent - such arbitrary actions are illegal.
READ ALSO: How can you protect yourself from unfounded rental lease terminations in Switzerland?
This is what you need to know:
Do you have the right to know ahead of time of your landlord’s plans to sell your dwelling?
According to Comparis consumer platform, “a landlord is not obligated by law to inform a tenant of their plans to sell the apartment,” though many owners do so.
But, depending on where you live, certain rights do apply.
For instance, in some cantons, including Geneva, Vaud, and Valais, the tenant has the “right of first refusal" (also called the right of pre-emption).
This grants them the right to have a priority over other buyers to purchase the property, if they wish, and are financially able, to do so.
The sale to a third party can only proceed if the tenant does not want to buy the dwelling.
Complying with the law
In Switzerland, a landlord cannot evict a tenant if the lease is still in effect, solely because they want to sell the property. However, they can terminate the lease by complying with the legal notice period set out in the rental agreement.
The notice period is usually three months, unless a different timeframe is specified in the lease; it can’t be shorter than the statuary three months, but it could be longer.
If nothing is mentioned in the lease about the termination deadline, then the three-month timeline is the valid one.
Whatever the notice period is, the landlord must respect it, so you needn’t worry about finding yourself without a roof over your head from one day to another.
However, termination is not the only option the landlord has when selling their property.
Maintaining the lease
According to Article 261 of the Swiss Code of Obligations, the rental agreement remains valid even after the sale of the property.
The buyer – that is, the new landlord - replaces the previous owner and must comply with the same obligations.
"If during the lease term the property is sold, the lease automatically passes to the purchaser, by law," said Pierre Stasny from the Swiss Tenants Association (ASLOCA).
"There is no need to re-enter a new contract with the purchaser, and a simple communication from the management indicating the identity of the new owner is sufficient. This is what happens most frequently in practice".
Does this mean you will have to leave your flat?
Not necessarily.
If the new owner purchased the property as an investment, they may be happy to have a paying tenant in place, so your lot will not change.
If, on the other hand, they want to use the apartment themselves, then they will have to terminate the lease legally – again, complying with the notice period spelled out in your contract.
Can you dispute the sale?
Yes, you can do this if it involves a wrongful termination of your lease - for instance, if the notice period was not respected or other violations were committed.
However, Comparis said you must act quickly, within the 30-day deadline, to prove that your termination is wrongful.
If you manage to do so, the termination could be reversed, and your tenancy could be extended by up to four years (though shorter periods are more realistic).
But this could happen only in rare cases due, for instance, to advanced age, serious health problems, or inability to pay for another apartment.
If this happens to you and you need legal advice, your local Tenants Association in Swiss German and French-speaking part may be able to help.
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