Legal Question in Real Estate Law in Maryland

My husband and I signed a two year lease. We also signed at that time the First Right of Refusal Form. We were under the impression that because we signed that form that the landlord would offer the sale of the house to us and we were renting "with the option to buy". Because we thought we were renting with the option to buy, we have done several costly upgrades (with the landlord's permission) to our home. At the end of the two year lease, the landlord decided NOT to write a new lease and we would just go month to month? We were just give 59 days notice that we are to vacate the property. Do they have any obligation to sell us the house? I am very stressed because I do not know how I can continue to pay my rent and save to move? Thank you for your time.


Asked on 2/05/10, 3:52 am

1 Answer from Attorneys

Robert Sher Wagshal and Sher

An attorney would have to review the exact language of the form to give you the best answer. Generally, however, these forms state that the tenant's right is dependent on the landlord's decision to offer the house for sale at a given price, and then the owner's receipt of a bona fide offer. At that point, the tenant has a right to match the offer and get the house. This differs from an option to buy, which usually gives the tenant the right to initiate the process by tendering an offer at either a predetermined price, or at a 'market' price.

If the right of refusal form didn't specify any expiration date, all terms in the original lease should remain in effect except for the length of the lease and the method of its termination. It would have been a good idea, before doing the upgrades, to reaffirm your right to purchase the property at any time, or better yet, to make sure you had a true option that you could initiate. You should confront the landlord regarding your upgrades and find out if they plan to put the house on the market. If so, you may be able to enforce your rights, but would have to take legal action to do so.

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Answered on 2/10/10, 6:53 am


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