If you are looking to sell a property that you live in without moving, or selling a property to own and rent out, you can do so at any time. It’s a bit more delicate for people renting your property.
It’s easier to sell a home you are living in. prospective buyers will understand. But selling a property that is occupied by tenants can be difficult and time-consuming, if they are not cooperative.
Tenants and Your Property for Sale
Selling your property is already a complicated and involved venture. When you are selling a home that you rent to someone else, that will make the situation even more so.
It can become even more tricky if they are not willing to cooperate, are not willing to move out, or your relationship is already strained. For the tenant, they actually have the right to stay, even after the property is sold, to the end of their lease, if it has not expired.
Ideally, you want to be able to show the property in its best light, which can’t really happen if you have tenants, even good ones, living in the residence. It may work out well for the seller, it may not.
Showing Occupied Property
Before you show the property, make arrangements to view the property, if you haven’t been inside in some time. Make sure there are repairs done and the place looks presentable.
If you need to show the property, give the tenant plenty of notice. Try to find a good time for them and preferably, when they are not there. Tenants that are not happy about leaving may go out of their way to make it as difficult for you to sell as they can.
Make sure any potential buyers are aware of the situation before they come. If you are using an agent, make all of these things clear to them to avoid turning people off of the property without prior warning.
Removing The Tenant
Deciding to sell the property might not be in your hands, so you could always offer the property to the tenant first. If they really like living there, let them have the first option to buy.
If your tenant is still on their lease, but cooperative, there are a few options. If they want to stay and the new buyer is willing, then it is a matter of just transferring everything to the new owner.
If the new owners want to live in the residence, then you either need to buy them out of their lease or let them live there until it expires. Always discuss these things with the tenant.
If they are not willing to leave, you need to look over the lease to see what action you can take. If the lease is month to month, make sure there is no clause that states you can’t evict them simply because the property is being sold.
Check the lease and the property for any violations that may give you grounds to evict them, if necessary. Give them the legally required notice. You can also try to help them find a new place, or make suggestions to other landlords you know.
Showing compassion to your tenants, even those who are less than cooperative, is your best bet to make sure the entire process goes as smoothly as possible for everyone involved.
Tenants need to understand why you are selling within reason, and that the next landlord might be a lot worse, so it’s in their best interest to make a move before things get too out of hand.
For more information on selling an occupied property, contact Black Door Signature Homes today.