Form of the Week: Right to Enter and Display Unit to Purchasers and Notice to Occupant of Entry and Completion of Display — Forms 116 and 116-1

Owner’s right to enter other people’s space

An owner entrance fee a residential or commercial unit during the term of the tenant’s right of occupancy is severely limited.

Here the possession rights to occupy the property have been assigned to the tenant and are no longer held by the lessor, until reversion of possession occurs upon termination of the lease. [See RPI e-book Real Estate Property Management, Chapter 4]

Thus, a residential owner may only enter the tenant’s space during the term of the rental or lease agreement in the following limited circumstances:

• in a emergency;
• TO DO repairs, alterations, improvementsor provide services who are either necessary Where previously approved by the tenant;
• to complete a pre-expiration inspection for breaches that would result in a deduction from the tenant’s security deposit;
• at show unity to potential buyers, potential tenants, lenders, repairers or contractors;
• when the tenant has left the premises and their right of occupation has ended by assignment or abandonment; Where
• under a court order allowing entry. [Calif. Civil Code §1954]

The entry of a property manager or landlord into a tenant’s unit out of concern for the safety of the property or other tenants constitutes a emergency. The property manager may properly enter the unit without the tenant’s knowledge and permission for the limited purpose of dealing with the emergency. [People v. Plane (1969) 274 CA2d 1]

Related page:

Property Management 101

First opinion procedure for “For Sale” periods

A residential or commercial property occupied by a tenant is called a rent. Real estate brokers who list rentals for sale must inform the seller of their right to coordinate inspections of potential buyers well classified.

These inspections are carried out using one of two notification procedures.

The first opinion procedure works the same way as the 24-hour written notice of entry for repairs. Here the residential landlord, before carrying out any maintenance, service or entry for prospective buyers, gives the tenant written notice of the landlord’s intention to enter. [See RPI Form 567]

The written notice gives the tenant a reasonable time entry preparation period.

A 24 hour notice is considered reasonable, unless extenuating circumstances known to the Landlord or its Property Managers, such as the Tenant’s vacation or business trip, indicate that the Tenant needs additional time to receive the notice and prepare for entry.

24 hour service entry notice prior to entry is accomplished by one of the following methods:

• by giving written notice to the tenant personally;
• deliver the notice to a unit occupant which appears from appropriate age and discretion send the notice to the tenant; Where
• notice display over, near or below the usual front door it will therefore be discovered by the tenant.

Alternatively, the notice may be sent by mailbut at least six days must elapse after dispatch before the intended entry can be scheduled. [CC §1954]

Related article:

Form of the Week: Notice of Intent to Enter Dwelling and Notice to Move Temporary – Forms 567 and 588

Second notice procedure for “For Sale” periods

The second notification procedure 24 hour written notice is a 120 day “For Sale” notice.

The “For sale” notice may be delivered to the tenant in person or by regular mail at any time after the seller has posted an advertisement to sell the property. [See RPI Form 116]

The “For Sale” notice begins a “For Sale” period of 120 days. During this period, the seller or his agent may enter the unit during normal business hours with a potential buyer to inspect the unit.

Prior to check-in time during the “for sale” period, the seller or seller’s agent must give the renter at least 24 hours’ notice by telephone or in person of the actual date and time of check-in. ‘hall. [CC §1954(d)(2)]

Actual entry is conditional on the seller’s agent leaving a written note in the unit regarding entry and completion of inspection. [See RPI Form 116-1]

Here the seller and their agent hold the exclusive right to give the 24-hour notice by telephone during the 120-day period following service of the written “For Sale” notice.

The buyer’s agent must arrange for the seller’s agent to give the 24 hour telephone notice. The buyer’s agent does not and cannot have the authority to notify the tenant (unless it is a double agent).

Related page:

Lease agreements and property management forms

Duties of the seller’s agent and the seller on “for sale” periods

When the seller’s agent takes an advertisement to sell a property occupied by a tenant, he must inform the seller of the two available entry notification procedures and advise on their use. [See RPI Form 567 and Form 116]

Once determined the notification procedure that the seller is willing to allow in the listing agreementthe information is shared with the buyer’s agent.

The seller’s agent reports information regarding a buyer’s access to the property listed in multiple listing service (MLS) entries under “showing instructions.”

For example, the seller’s agent might write: “Call the Listing Office (LO) or Listing Agent (LA) to arrange for 24-hour telephone (or written) notice of entry.”

Once informed of the entry and inspection procedure, some sellers may restrict property inspections to only qualified buyers who concluded a purchase agreement. Thus, sellers might not allow potential buyers to preview the premises until they have entered into a purchase agreement and have been financially qualified as capable buyers, proving that they are in good faith. .

Related article:

Brokerage Reminder: Real Estate Management License

Analyze the right to enter and expose the unit to buyers

The seller of a rental property uses the Right to enter and display unit to buyers form edited by Real Estate Publications, Inc. (RPI) when the rental property is offered for sale and before showing the rented units to potential buyers. The form informs tenants that the property is “for sale” and that within the next 120 days the seller or his agent intends to enter their unit on 24 hours’ telephone notice and show it to potential buyers. [See RPI Form 116]

The Right to enter and display unit to buyers contains:

• Factsincluding:
  • the date on which the underlying rental or lease agreement was entered into;
  • the identity of the tenant;
  • the identity of the owner; and
  • the legal description of the property [See RPI Form 116 §1];
• Notice to tenantincluding:
  • a notice that the premises occupied by the tenant is put on the real estate market “For sale” [See RPI Form 116 §2];
  • that for a period of 120 days from the date of the notice, the landlord or his authorized agent for the sale of the property may need to enter the tenant’s unit during normal business hours in order to show the places for consideration by potential buyers [See RPI Form 116 §3];
  • that at least 24 hours prior to entry for the purposes described, the tenant will receive telephone or personal notice of the intent of the landlord and agent to enter the unit [See RPI Form 116 §4];
  • that the tenant is not required to be present on the premises during the entry and the visit, and that a master key will be used in the event of the tenant’s absence during the entry [See RPI Form 116 §5];
  • that when leaving the premises, the owner or his agent will leave a written note identifying himself and indicating that he has entered and finished his visit of the unit to the buyers [See RPI Form 116-1; See RPI Form 116 §6]; and
• Signatures: the owner and his representative enter their identities, their contact details, the date of the notice and affix their signatures. [See RPI Form 116]

Related article:

Form of the week: Exclusive authorization to rent a property and locate a space — Forms 110 and 111

Analysis of the notice to the occupant of entry and realization of the visit

The owner of a rental property offered for sale uses the Notice to occupant of entry and completion of visit form edited by RPI when notifying a tenant that they and a potential buyer have come in and shown the unit based on the 120 day “For Sale” notice previously served on the tenant. The form informs the tenant that the entry has taken place and has been completed. [See RPI Form 116-1]

The Notice to occupant of entry and completion of visit contains:

• Facts featured, including:
  • the date on which the underlying rental or lease agreement was entered into;
  • the identity of the tenant;
  • the identity of the owner; and
  • the legal description of the property [See RPI Form 116-1 §1];
• Notice to tenantincluding:
  • the date the tenant was notified of the intention of the landlord and agent to enter the tenancy premises the tenant occupies to show the unit to potential buyers [See RPI Form 116; See RPI Form 116-1 §2]; and
  • a notice to the tenant that the visit to his unit was carried out by the agent or by the owner, with a space to write the name of the agent or the owner [See RPI Form 116-1 §3]; and
• Signatures: the owner and the listing agent who completed the visit enter their signatures, the date of the visit, their identities and their contact details. [See RPI Form 116-1]

California law requires the owner or listing agent of a residential or commercial rental property offered for sale to leave a notice to occupant of entry and completion of visit in a tenant’s dwelling after entry when the right to enter and display the unit to buyers is chosen as the notification procedure. [CC §1954; See RPI Form 116; See RPI Form 116-1]

Related article:

Form of the Week: Tenant Lease and Offer to Rent Worksheet – Forms 555 and 556

Want to know more about a landlord’s right of entry and notification procedures? Click on the image below to download the RPI book cited in this article.