Selling a house with tenants in it

The tenancy comes with the house

A sale transfers the property. If you sell with the tenancy in place, the buyer takes over as landlord on the existing terms, and the tenant stays.

A fixed term tenancy cannot be ended early just because the property has sold. The options are to negotiate an early end with the tenant, to delay settlement, or to sell with the tenancy in place and market it to buyers who want it that way.

Notice on a periodic tenancy

Where a tenanted property is sold with a requirement to give vacant possession under an unconditional sale and purchase agreement, the landlord may give a tenant on a periodic tenancy 42 days written notice. The notice has to state the reason. The general no cause notice is 90 days. These periods came into force on 30 January 2025 under the Residential Tenancies Amendment Act 2024.

The timing point that catches vendors out is that the 42 day clock cannot start until the agreement is unconditional. Count those days forward from the likely date of going unconditional before you agree a settlement date, because the notice period can push the date rather than fit inside it.

Telling the tenant, and getting in to take photographs

If you put the property on the market you must tell the tenant in writing. After that, access is by permission rather than by notice. You need the tenant's permission to enter to take photographs and to show potential buyers through.

The tenant cannot unreasonably refuse, but may set reasonable conditions, including limiting access to certain days and times. They may refuse open homes and on site auctions, and they have the right to be present at all times, including during open homes.

For context, a routine inspection needs at least 48 hours notice, no more than once every 4 weeks, between 8am and 7pm. Entry for repairs or maintenance needs at least 24 hours notice.

In practice a campaign built on private viewings at set times, with the tenant told early and asked rather than instructed, gets better access and better presentation than one built on open homes. The tenant decides whether buyers get through the door, so the relationship is part of the campaign plan, not a side issue.