I have been asked by a number of friends and clients about the rights renters have if a home is sold. Renters want to know if a home is sold will they be kicked out and new owners want to know if they purchase a property can they remove the tenants.
The key to note is generally speaking leases stick with the property. If a renter has signed a 12 month lease and the home is sold four months into the lease, the renter has the right (in most cases) to stay the additional 8 months.
If you are going to be selling a rental property and a lease is coming up for renewal, you can change the status (as long as both parties sign off) to month-to-month with 30 or 60 day notice. That way the permanency of the tenants is less solid. Again, you want to make sure your tenants are okay with this.
Regardless of the terms of the lease, you should let your renters knows the home is being sold and new management is coming in. The new owners will want to execute new leases with the tenants.