Who Gets the Rent After a Property Is Sold? Court of Cassation Decision

When a Rented Property Is Sold, Who Is Entitled to the Rent?

The Turkish Court of Cassation has issued an important decision concerning the distribution of prepaid rent where a leased property is sold to a new owner.

According to the decision of the 3rd Civil Chamber of the Court of Cassation, if the former owner has collected rent in advance, the portion corresponding to the period after the transfer of ownership must be paid to the new owner.

How Did the Dispute Arise?

In the case, the tenant had paid the rent for a specified period in advance to the former owner of the property.

Shortly after the beginning of the rental period, the property was sold to another person.

The new owner claimed that the rent corresponding to the period following the acquisition date belonged to them and requested payment from the former owner.

The lower court rejected the claim. However, the Court of Cassation reached a different conclusion.

The New Owner Becomes a Party to the Lease Agreement

Under the Turkish Code of Obligations, when ownership of a leased property is transferred, the new owner becomes a party to the existing lease agreement as of the date of acquisition.

Based on this principle, the Court of Cassation held that the new owner is entitled to rental income arising after the transfer date.

Therefore, if the former owner has already collected the rent in advance, the amount corresponding to the period after the sale must be transferred to the new owner.

Is the Tenant Required to Pay the Rent Again?

A key aspect of the decision concerns the position of the tenant.

Where the tenant has duly paid the rent to the former owner before the transfer of ownership, the resulting dispute primarily concerns the former and new owners.

For this reason, when purchasing a leased property, it is important to review the existing lease agreement, payment dates and any rent already collected in advance.

Such checks may help prevent future disputes between the parties.

Source: Decision of the 3rd Civil Chamber of the Turkish Court of Cassation, reported on 18 August 2026.

Disclaimer: This content has been prepared for general legal information purposes only and does not constitute legal advice. The legal assessment may differ depending on the circumstances of each individual case.