Published October 23, 2026
When you buy a home with a tenant in it, you step into the landlord’s seat. Nothing in the Virginia Residential Landlord and Tenant Act says a sale ends a lease, and its sale provisions assume the tenancy carries on under the new owner. That means the seller has to pass the security deposit to you, the tenant has to be told who you are, and if you planned to move in, you do not get the keys at closing unless the tenant has agreed in writing to leave.
This guide walks through what the Act says about those points, what to ask for before you make an offer, and what to do in the first weeks after closing on a rental house in the city of Richmond, Henrico County or Chesterfield County. It belongs to our series on buying with an occupant in place, alongside the guides on selling a home with tenants, second home and investment mortgages, DSCR loans and rent-backs. This is general information, not legal advice. A Virginia real estate attorney should read the lease and your contract.
The Act in five sections
Five sections of Chapter 12 of Title 55.1 of the Code of Virginia cover most of what a buyer needs. We read each one on the Virginia Law portal.
| Section | What it says | What it means for you |
|---|---|---|
| 55.1-1200 | A landlord is the owner, lessor or sublessor of the dwelling unit or its building. | After closing, you are the owner, so the landlord duties are yours. |
| 55.1-1213 | The current owner shall transfer security deposits and accrued interest to the new owner at the time of transfer. | Ask how the deposit will move to you at settlement. |
| 55.1-1216 | On a sale, the landlord shall notify the tenant and give the purchaser’s name, address and a phone number. | Confirm the notice goes out and what it says. |
| 55.1-1226 | A deposit may not exceed two months’ periodic rent, and the itemized disposition is due within 45 days after the tenancy ends or the tenant vacates, whichever is last. | You are bound by the deposit rules at move-out even if the seller never sent the money. |
| 55.1-1253 | A month-to-month tenancy ends by written notice at least 30 days before the next rent due date, unless the agreement says otherwise. A week-to-week tenancy needs seven days. Parties may agree in writing to end early. | This is the clock you work with if you want the home back. |
Before you make an offer: the paperwork to ask for
The listing may say “tenant occupied” and little else. Before you write an offer, ask the seller’s agent for the full lease with every addendum, the rent amount and due date, the rent payment history, the security deposit amount and where it is held, and any written notices the landlord or tenant has sent. Ask whether the tenancy is for a fixed term or runs month to month, and when the term ends. If the lease is fixed, its end date decides when you could occupy the home yourself. If it is month to month, section 55.1-1253 sets the notice, unless the rental agreement provides a different period.
Then decide which kind of buyer you are, because lenders treat the two differently. A buyer who wants to live in the house has a harder timeline than an investor who wants the lease to continue. Our guide to second homes and investment properties covers how lenders treat each, and the preferred lenders page is a starting point for a lender conversation before you offer. Say which plan you have when you talk to the lender, not after the appraisal.
The security deposit: where a buyer can lose money
Section 55.1-1213 says the current owner shall transfer deposits and any accrued interest to the new owner at the time of transfer. If a managing agent holds the deposits under a written management agreement, the owner must give written notice asking the agent to pay them over before settlement, and the agent must then tell each tenant the deposit has moved.
The part buyers miss is in section 55.1-1226. The holder of the landlord’s interest when the tenancy ends, however it was acquired, is bound by that section and must return any deposit duly owed to the tenant, whether or not the deposit was transferred, and regardless of any contract between the original landlord and its successors. In plain terms, if the seller keeps the money and the tenant moves out on your watch, the tenant can look to you for it.
Here is an illustration, not a Richmond rent figure. If a lease shows monthly rent of $1,800, the Act’s cap on a deposit is two months’ periodic rent, so $3,600. A seller who says the tenant paid $5,000 has a problem to fix before closing. If the amount in the lease, the ledger and the seller’s statement do not match, put the correct figure in writing in the contract and ask your settlement agent how the deposit will be handled on closing day. Rent for the closing month is a separate question; the prorations guide shows how closing-statement credits and charges work, and your contract should say how the month’s rent is divided.
Get the Richmond closing-timeline checklist
Tell us you want the checklist and we will send you a closing timeline that marks where the lease review, the deposit transfer and the tenant notice fall between contract and closing, so you know which dates to confirm with your title company.
Notice: who tells the tenant, and what you can change
Under section 55.1-1216, the landlord must notify the tenant of the sale and give the purchaser’s name, address and a phone number where the purchaser can be reached. The duty sits with the seller, but the practical risk lands on you if the tenant never hears who the new owner is: rent goes to the old address and a late-payment dispute follows. Ask your agent to confirm that the notice has been sent, and send your own short written note on closing day with where to pay rent and how to reach you.
Changing terms is more limited than many buyers expect. A fixed-term lease runs on its own terms until it ends. For a tenancy at will, section 55.1-1225 says a notice of any change by a landlord or tenant in the terms of the tenancy is a notice to vacate, and it must be given as the rental agreement or other law requires. Ask your attorney whether the tenancy in front of you is a fixed term, a periodic tenancy or a tenancy at will before you send any notice that changes a term.
If you plan to live there
An owner-occupant has three ways to get the home, and none of them is “at closing” by default.
- Wait for the lease to end. If the lease is fixed, ask for a contract closing date or a possession plan that matches it, and understand that the tenant may be entitled to stay until the term runs out.
- Give the notice the lease requires. On a month-to-month tenancy, section 55.1-1253 allows termination by written notice at least 30 days before the next rent due date, unless the agreement says otherwise. The seller can serve it before closing, or you can after.
- Agree on an early move-out. The same section lets the landlord and tenant agree in writing to an early termination. Any such agreement should be signed, dated and in your hands before you remove your contingencies.
Do not schedule movers or the end of your current lease until one of these is in writing. Our guide on timing a move from renting to owning covers the overlap problem from the buyer’s side, and the rent-back guide shows the opposite arrangement, where a seller stays.
Inspection, insurance and the closing timeline
Inspection access depends on the tenant, so ask the seller’s agent to schedule it as early as possible and put the dates in writing. Plan for a final walk-through that shows you less than you would see in a vacant home, with the tenant’s belongings in every room; our walk-through guide explains what to check and what you can still do if something is wrong.
Insurance for a rented home can differ from a policy for a home you live in, so ask your insurer how it classifies the occupancy before you bind coverage. Our insurance quote guide shows what to read in a quote. Ask your title company whether anything about the lease turned up in its search, and read the commitment with our title commitment guide. For a larger or older rental, a local property manager can handle rent collection and repairs after closing; our local vendors page is a place to look.
Your first weeks as the new landlord
After closing, confirm that the deposit and the lease file reached you, tell the tenant in writing where to pay, and start your own records. Section 55.1-1226 requires a landlord to maintain and itemize records for each tenant of all deductions from the deposit, which is easier to do if you keep a dated photo set of the home from day one. Put the 45-day deposit deadline on your calendar for the day any tenant leaves.
If you are still searching for a rental home or a home with an existing lease, our property search lets you start from current listings, and our buyer page describes how we work with buyers.
What to ask your attorney
Bring the lease, the ledger and the draft contract. Ask what the lease obligates you to do from day one, how the deposit and the first rent payment will be handled at settlement, whether the plan to occupy the home is realistic for the lease end date, and which written agreements with the seller and tenant to sign before closing. A review before you remove contingencies is worth far more than one after.
Ask for the closing-timeline checklist
The same offer, restated: request our Richmond closing-timeline checklist and see where the lease review, deposit transfer and tenant notice line up with your contract dates.
Frequently asked questions
How do I know how much deposit the tenant actually paid?
Ask for the lease, the rent ledger, any deposit receipt and the seller’s written statement of the amount and where it is held, and compare them. Section 55.1-1226 caps a deposit at two months’ periodic rent, so a figure above that is a red flag to raise with the seller before closing. You can also ask the tenant to confirm the amount in writing once the seller has agreed.
Can I raise the rent as soon as I own the house?
Not on your own timetable. A fixed-term lease keeps its rent until the term ends unless it says otherwise. For a tenancy at will, section 55.1-1225 treats a landlord’s notice of a change in terms as a notice to vacate, given as the agreement or other law requires. Have an attorney look at the lease before you send anything that changes a term.
Can I get into the unit for an inspection?
It depends on the lease and on the tenant’s cooperation, so ask the seller’s agent to arrange the date early and put it in writing. Do not assume an inspection can be added at the last minute. If access is refused, ask your attorney what protection your contract gives you before the contingency period ends.
What happens to the rent for the month of closing?
That is a contract and closing-statement question, not a rule you can assume. Ask your agent and settlement agent how rent already paid will be divided between you and the seller, and have it written into the contract. Our prorations guide explains how credits and charges between buyer and seller appear on the settlement statement.
Does a month-to-month tenancy make it easier to get the house back?
It shortens the notice period, but it does not remove it. Under section 55.1-1253, a landlord or tenant ends a month-to-month tenancy by written notice at least 30 days before the next rent due date, unless the rental agreement provides a different notice period. If the lease sets a longer period, that period applies.
What if the seller says the tenant has no lease?
Ask for any written or emailed terms, the rent history and the date the tenant moved in, and have your attorney review them. A missing written lease does not mean there is no tenancy. Section 55.1-1253 describes week-to-week and month-to-month periodic tenancies, and your attorney can tell you which, if any, applies and what notice it needs.
