DC Has a 30-Year-Old Law Giving Tenants Right of First Refusal

Last week Realty Times, an online news service, had an interesting article that caught our attention. It was about a long-standing law in the District of Columbia that is designed to protect tenants from being displaced when a landlord sells their home, condo or townhouse.

Although only 5% of tenants have been able to exercise the right of first refusal granted by that D.C. law and it has just been modified to exempt some properties in some situations, it presents an interesting concept that could make sense if properly designed.

However, Golden Real Estate has a program that is even better, because we have a buyer who will purchase that home for cash, guaranteeing the tenant the right to stay up to 5 years with pre-specified and reasonable annual rent increases and the opportunity to purchase that home when able. The tenant need only be pre-qualified as a tenant (with a $75 application fee) and does not have to qualify as a buyer.  While the tenant has the right to purchase the home over the next 5 years at specified prices, he also has the right to leave after each one-year term without purchasing the house.

Under this arrangement, if a tenant learns that his house is going on the market and he’s at risk of being given 30 days’ notice to vacate, he/she can call us we’ll set that tenant up with our buyer, Home Partners of America, who will qualify the tenant immediately, then make a cash offer to buy the house, just like any buyer.  Call me at 303-525-1851 to apply.

The home itself has to qualify. It can’t be a condo, and can’t be priced over $550,000.  We function as Home Partners’ agent.

 

Author: Golden Real Estate, Inc.

Golden Real Estate is a prominent member of the Denver/Jefferson County real estate scene. Based in Golden, we service both Denver and Jeffco, representing both buyers and sellers. We're well known for Broker Jim Smith's weekly "Real Estate Today" column published in the Denver and Jeffco editions of the Denver Post's YourHub section each Thursday. The column also appears in several weekly newspapers and is archived at www.JimSmithColumns.com. We have nine agents, all of whom are Realtors and EcoBrokers. Our office is solar powered and several of us drive electrics cars. Known for our sustainable practices, we accept polystyrene (aka "Styrofoam") for recycling, keeping 200 cubic yards per year out of area landfills.

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