Ending a Lease to Sell Your Property
Ending a Lease to Sell Your Property
A Clear Guide for NSW Landlords in 2026
Ending a residential tenancy in New South Wales has changed significantly in recent years. Since May 2025, landlords can no longer end a tenancy without grounds, even when a fixed term lease is coming to an end. This has created confusion, particularly for landlords planning to sell their property.
This article explains, step by step, when and how a landlord can lawfully give a tenant notice to vacate when selling, what documents are required, what notice periods apply, and what happens if circumstances change.
Can a Tenant Be Asked to Leave When a Fixed Term Lease Ends?
Yes, but only if a lawful reason is used.
Under current NSW law, a fixed term lease does not automatically end simply because the end date is reached. A landlord must give a valid termination notice and state a specific legal ground for ending the tenancy.
One of those lawful grounds is selling the property, provided the correct process is followed.
Selling the Property as a Lawful Ground for Termination
NSW tenancy law recognises two separate sale related grounds.
- Proposed sale of the premises.
- Actual sale of the premises once contracts have exchanged.
Do You Need a Signed Contract of Sale Before Giving Notice?
No.
If the landlord relies on the ground of proposed sale of the premises, a contract of sale does not need to be signed at the time the termination notice is issued.
The property must genuinely be offered for sale and the eventual contract must require vacant possession. The intention to sell must be genuine at the time the notice is given.
When Can the Termination Date Be Set?
The termination date must not be earlier than the end of the fixed term lease.
Minimum Notice Period for Proposed Sale
For most fixed term residential agreements, a landlord must give at least 90 days written notice when terminating on the ground of proposed sale.
What Must Be Given to the Tenant
A written termination notice and an official Termination Information Statement approved by NSW Fair Trading must be provided at the same time.
Final Thoughts for Landlords
Selling a tenanted property in NSW is entirely lawful, but terminating a tenancy requires precision, evidence, and correct timing.
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Ending a residential tenancy in New South Wales has changed significantly in recent years.
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