[Direct answer]In the Beijing area, if the ownership of the leased property changes during the lease period, it does not affect the validity of the lease contract. Article 275 of the Civil Code of the People's Republic of China (effective January 1, 2021) stipulates that if the ownership of the leased property changes during the period of possession by the lessee in accordance with the lease contract, it does not affect the validity of the lease contract. In simple terms, if the landlord sells the house to others, the new owner should, in principle, continue to perform the original lease contract, and the lessee can rent the house under the original conditions until the lease period expires. The application requires three prerequisites: the lease contract is legal and valid, the lessee has actually occupied and used the subject matter, and the ownership change occurs during the lease period. If the lease is established after the mortgage or seizure, or the lessee has not actually occupied the property, the rule may not apply. This system aims to maintain the stability of the lessee's residence and operation, but it is not absolutely applicable.

I. Problem Background and Typical Scenarios

The rule of "the sale of property does not terminate the lease" is one of the most frequently mentioned rules in lease relationships. Typical scenarios include: the landlord sells the leased property to others, and the new landlord requires the lessee to increase the rent or move out; the lessee rents a shop to operate, and after the landlord sells the shop, the transferee requests an early termination of the contract; the property is leased after being legally mortgaged, and the lessee's status is affected when the mortgage right is realized. These issues essentially involve the balance between the change of ownership and the stability of the lease relationship. When adjudicating such disputes in the Beijing area, the court will focus on verifying the establishment time of the lease contract, the lessee's possession status, and the chronological order of the change of ownership. Relevant practices can be referred to for reference.Real estate transactions and construction projectsThe handling of leasing and real estate disputes.

II. Key points of contention

First, the authenticity of the lease relationship: whether it is a genuine lease or a fake lease signed after the execution of the judgment to evade enforcement. Second, the determination of possession: whether the lessee actually occupies and uses the property. Signing a contract without moving in may affect the application of relevant rules. Third, the chronological order: the priority of the lease versus the mortgage or seizure determines whether it can oppose new rights holders or enforcement applicants. Fourth, the modes of ownership transfer: whether the rules apply to sales, donations, inheritances, auctions, etc. Fifth, special handling of auction scenarios: if the lease is established after seizure or mortgage, it is usually difficult to prevent the delivery of the property. Sixth, the exercise of preemptive rights: when the lessor sells the property, the lessee should be notified within a reasonable period of time, and the lessee has the preemptive right to purchase under the same conditions. Seventh, special provisions in the contract: if the parties separately agree on the conditions for termination, the provisions shall be followed accordingly.

III. Professional analysis by Henglue Lawyers

The practical experience of Henglue Lawyers shows that the principle of "sale does not break lease" is not just a slogan, but a set of applicable conditions that require evidence to support. Firstly, verify the establishment time of the lease: Determine the formation time of the lease relationship based on materials such as contract signing, rent payment, and occupation, and judge whether it precedes the mortgage or seizure. Secondly, prove actual occupation: Provide utility payment records, property registration, express delivery receipts, and materials showing the lessee's actual occupation and use of the premises. Thirdly, distinguish conflicts of rights: If the lease precedes the occupation, it can generally oppose subsequent buyers and mortgagees; if the lease follows the occupation, it may not be able to prevent enforcement and delivery. Fourthly, correctly understand the preemptive right of purchase: The lessor should notify the lessee within a reasonable period when selling the leased house, and the lessee has the preemptive right of purchase under the same conditions. However, the exercise of this right is subject to time limits, and failure to do so within the time limit will be deemed a waiver. Fifthly, be vigilant against the risks of false leases: Those who backdate contracts or falsify rent payments to resist enforcement may be deemed invalid and bear adverse consequences. Sixthly, choose the appropriate remedy: The lessee can weigh the options of continuing performance and seeking compensation, and, if necessary, claim the lessor's breach of contract liability. In the judicial practice of Beijing courts, the review of the authenticity of the lease and the facts of occupation is quite meticulous. 恒略律师的实务体会是，买卖不破租赁不是一句口号，而是一组需要证据支撑的适用条件。首先，核查租赁成立时间：以合同签订、租金支付与交付占用等材料确定租赁关系的形成时点，判断其是否早于抵押或查封。其次，证明实际占有：提供水电燃气缴费记录、物业登记、快递签收与经营场所示意材料，说明承租人确实占有使用。第三，区分权利冲突：租赁在先且已占有的，通常可对抗后续的买受人与抵押权人；租赁在后的，则可能无法阻却执行与交付。第四，正确理解优先购买权：出租人出卖租赁房屋应在合理期限内通知承租人，承租人在同等条件下有优先购买权，但该权利的行使有期限限制，逾期视为放弃。第五，警惕虚假租赁的风险：为对抗执行而倒签合同、虚构租金的，可能被认定无效并承担不利后果。第六，处理路径的选择：承租人可就继续履行与赔偿作出权衡，必要时主张出租人承担违约责任。北京法院审判实践中，对租赁真实性与占有事实的审查较为细致。

IV. Practical suggestions and legal basis

Action recommendations: 1. The lessee should take actual possession of the property and use it as soon as possible after signing the contract, and retain the payment and residence certificates; 2. Verify whether the property is subject to liens or seizures to avoid being affected by the transferee or enforcement procedures after signing the contract; 3. When the lessor sells the property, the lessee should pay attention to the notice and exercise period of the preemptive right to purchase; 4. After the change of ownership of the property, if the new right holder requests to change the conditions, the lessee may claim continued performance based on the contract; 5. After a dispute arises, the lessee should promptly secure evidence of the lease contract, payments, and possession, and, if necessary, confirm rights through litigation. Legal basis: Article 725 of the Civil Code of the People's Republic of China (effective January 1, 2021) regarding the provision that a change in ownership does not affect the validity of the lease contract; Article 726 regarding the lessee's preemptive right to purchase; and Article 405 regarding the relationship between mortgages and leases. For real estate and lease disputes, please refer to the relevant provisions.Real estate transactions and construction projectsThe measures related to enforcement and the realization of rights can be referred to for reference.Creditor's rights and debts, and enforcementThe specific application shall be subject to the currently effective laws, regulations, and judicial rulings.

5. Henglue Law Firm's Reminder

Firstly, the prerequisite for the lease not to be interrupted by the sale and purchase are that the lease is genuine and effective, and the lessee has actually occupied the property. A contract alone is not enough. Secondly, the time sequence of the lease and the mortgage or seizure determines whether it can resist the new rights holder. It is necessary to check the rights encumbrance before signing the contract. Thirdly, in the auction scenario, if the lease is established after the seizure or mortgage, it is usually difficult to prevent the delivery. Fourthly, there is a time limit for exercising the preemptive right. The lessee should express his position in time. If he fails to do so within the time limit, he may be deemed to have waived his right. Fifthly, if the lessee fictitiously establishes a lease to resist the execution, not only will it be difficult to achieve the purpose, but he may also bear corresponding responsibilities. For matters involving the realization of rights and the execution, you can consult a professional lawyer for advice.Creditor's rights and debts, and enforcementUnderstand the program.

VI. Frequently Asked Questions

Q1: The house has been sold. Is my lease contract still valid?

Generally, it is still valid. According to Article 725 of the Civil Code, if the ownership of the leased object changes during the period of possession by the lessee according to the contract, it shall not affect the validity of the lease contract. In principle, the new owner shall continue to perform the original lease contract until the lease term expires. In principle, the new owner shall continue to perform the original contract and shall not unilaterally change the main terms of the contract.

Q2: Under what circumstances does the principle of "sale does not terminate the lease" apply?

There are three conditions that must be met: the lease contract must be legal and valid, the lessee must have actually occupied and used the property, and the change of ownership must occur during the lease period. Changes resulting from sales, donations, or inheritance generally apply, except when the lease is established after the establishment of a mortgage or seizure. If the lease is established after the establishment of a mortgage or seizure, it is usually difficult to oppose the new rights holders or enforcement applicants.

Q3: If the rented house is sealed up and auctioned by the court, can I still live there?

It depends on the chronological order of the lease and the seizure. If the lease precedes the seizure and the lessee has actually occupied the property, they can usually claim to continue to perform the lease; if the lease is established after the seizure or mortgage, it is generally difficult to prevent the delivery of the property. It is recommended to assess the risks in advance and keep evidence. It is advisable to assess the risks in advance and keep evidence such as the lease contract, payment records, and proof of possession and use of the property.

Q4: If the landlord sells the house, can I, as the tenant, purchase it preferentially?

The lessee may claim the right of first refusal. The lessor shall notify the lessee within a reasonable period of time before selling the leased house, and the lessee shall enjoy the right of first refusal under the same conditions, but must exercise it within the time limit specified in the notice. Failure to do so within the time limit shall be deemed as a waiver. Therefore, the lessee should express his/her position in writing in a timely manner.

Q5: The new landlord wants me to either increase the rent or move out. What should I do?

The lessee may claim to continue to perform the original lease contract. The new owner is bound by the original lease contract and has no right to unilaterally change the rent or require the lessee to move out early. If no agreement can be reached through negotiation, the lessee may claim to continue to perform the contract or request the breaching party to compensate for the corresponding losses. If no agreement can be reached through negotiation, the lessee may claim to continue to perform the contract or request the breaching party to compensate for the corresponding losses.

This article is written based on the common judicial interpretations in the Beijing area. If the case occurs in other regions, it is recommended to consult local lawyers to verify the regional differences.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, so as to avoid missing the statutory time limit. →Legal services for real estate transactions·Beijing Henglue Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and public adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.