Definition
In Quebec, residential leases are among the most protected in the world. Buying a tenant-occupied rental property implies:
**Automatic lease transfer**: the residential lease follows the property — the buyer automatically becomes the new landlord with all obligations of the existing lease.
**Tenant rights at purchase**: - The tenant must receive at least 3 months notice before lease end date if the new owner wants to repossess their unit to live in it - The tenant can contest the repossession before the TAL - In case of abusive repossession, the owner can be ordered to pay significant damages
**Eviction for subdivision, expansion, or change of use**: - Requires TAL authorization - Mandatory tenant compensation
**Impact on financing**: - Current rents must be documented (leases, payment history) - Below-market rents reduce the value appraised by lenders - Quebec rent control law (TAL) limits annual increases