How To Sell a Rental Home With Tenants Still in It
If you happen to own a rental property with tenants present and want to sell, what do you do? Do you know how to sell a rental home with tenants still in it?
Below, Professional Home Buyers in Wichita, Kansas, offers some advice regarding the right way to go about selling rental property while tenants still occupy it.
Selling an Occupied Rental Property
If the existing tenants hold a fixed-term lease, you can’t force them to leave unless they violate the lease agreement. Unless it’s a delinquent tenant, you have the following alternatives:
Don’t Renew the Lease or Rental Agreement
The process may go a little smoother if you wait until the end of the lease to list your rental home for sale. It’s tough to upgrade a tenant-occupied property. So, when it comes to investment properties, taking this time comes with a big benefit.
For example, if you wait until the existing tenant moves out, it will give you the chance to add amenities or do renovations to increase the potential resale value of the home. Potential buyers can also tour a vacant property without the chaos of someone else’s belongings in every room.
Sell The Tenant-Occupied Property to an Investor
You can sell occupied rental properties to an investor without waiting for the tenant’s lease to end. It may decrease the number of prospective buyers, but existing tenants can save that new owner the time and effort of securing new tenants. It’s a big plus for many property investors.
Request the Tenants Move Out
If you find an interested buyer or real estate investor who would like to move forward with the purchase, you could request for the existing tenants to vacate before the end of the lease agreement. However, first, check your local landlord-tenant laws for more about how to sell a rental home with tenants still in it.
Also, the tenant has every right to refuse this request. In this case, consider incentives like offering to cover their moving costs.
Sell Your Investment Property to the Existing Tenants
Do you have a long-term tenant who loves your rental property? Ask if they’re interested in buying the home!
Tips For Showing a Property with Tenants
When you decide to sell a rental property, the tenant’s schedule matters. It’s their primary residence, and they are legally entitled to at least 24 hours’ notice prior to each showing. They still pay rent while you and the real estate agent show their home to others, and they need time to prepare for potential buyers to waltz through the property.
Also, once you accept an offer, communicate the timeline for moving out clearly. If they can stay after you complete the real estate transaction, let them know how the new property owner plans to accept their rental income, too.
Professional Home Buyers knows how to sell a rental home with tenants still in it. In fact, we buy houses with tenants in Wichita, KS! Call (316) 202-1628 today to learn more or connect with us online.