Selling your rental property may feel like a challenge. With tenants living in the home, it can be even more difficult. Utilize these tips for selling a rental property in our latest post!
As a landlord in Raleigh NC, there may come a time when you need to sell your rental property. While waiting until your lease is up is ideal, it may not be the best option for you. Sometimes, landlords find themselves in a situation in which they need to sell a rental property while the tenants are still living there. The only way to properly handle the situation is with open communication and making sure everyone is treated fairly during the process. Below are some things you should keep in mind when selling your house with tenants in Raleigh NC.
Respect Your Tenants
Even though you are the owner of the property, it is also the place that your tenants call home. Be respectful of their space. As a standard practice, they should be given 24 hours notice before there is a showing of the property. It is normal for tenants to experience anxiety when they learn the property is for sale. And they will know. I’ve seen many landlords try and hide the sale from their tenants, but they always find out.
Remember that the tenant is protected by their lease agreement. If there is 6 months left on their lease the new owner will be buying the property subject-to the terms of this lease agreement. The new owner cannot raise the rent or change the terms. Remember, your renters have rights too, so make sure you are acting within the boundaries of North Carolina landlord-tenant law.
A professional presentation begins with having all the relevant information organized and ready to share to a prospective buyer–assuming the buyer is qualified of course! This means having a copy of the lease agreement (even if the tenant is on a month to month tenancy), income & expense reports, repair receipts, HOA documents, etc. This will help build credibility in the eyes of your buyer. When you are able to offer an investment property, with great tenants already in place, many potential investors will see this as an asset, as opposed to something difficult they will have to deal with.
Appeal To Buyers Looking For A Home Of Their Own
If you have a newer property with modern amenities, you may be able to let the lease run out and offer the house to an owner occupant. This will likely mean that you will need to hire a real estate agent in Raleigh NC and wait around while a buyer is found. Take note that selling in this manner can take months. If your rental property isn’t performing or if it is costing you money, waiting to sell on the MLS may not be the best option from a financial standpoint.
Offer The Property To Your Tenants
Offer the property to your tenants first! This will accomplish 3 things:
- It is a way of letting your tenants know you want to sell without confrontation.
- Your tenants will be more likely to cooperate with the sale if they have been given the right of first refusal.
- They may actually buy it! They will pay you more money than most other buyers because they will be more comfortable with the home, and may have become attached to it.
If the tenants have been there for multiple years, they have likely grown comfortable. If homeownership is something they are interested in, the process doesn’t get much easier. They won’t have to move, you won’t have to clean up after old tenants… everybody wins! That said, if they haven’t purchased a home in the past, there may be a reason why. Make sure your tenants are qualified to buy your house and that they are able to come up with a down payment and other buying costs before getting your hopes up about a sale.
Sell Your Property Directly
As a professional home buying company we will buy your property as-is, whether you have tenants living in the home or not. As professionals, we understand the need to minimize intrusions into your tenants space–unhappy tenants lease. And we do not require multiple inspections from multiple vendors. You will not have to worry about getting phone calls from angry tenants about strange people knocking on their door. Many times, we will only need one walkthrough of the property before closing. We understand the process and can help you to liquidate your investment as quickly as possible.
Selling your Raleigh house with tenants can be difficult, and stressful for both the landlord and the tenant. Many people find that waiting until the lease is up is the easiest option. However, not everyone has the time to wait. When you sell your house directly to Mike Buys Houses, you will be able to sell your house with tenants in Raleigh without any hassles or waiting. You won’t have to worry about your tenants not cooperating or even bing hostile about the sale. The process will be fast, efficient, and seamless, making things simple for both you and your tenants.