Selling a property with tenants is a tricky affair. It often lands you in a dilemma, as you have to choose whether to sell with tenants intact or wait until they vacate the property. However, persuading buyers to buy such premises is not hard if you take certain steps.
Sell it to like-minded buyers
Search for like-minded buyers. If you are going to sell a building with occupants, find out someone who wishes to use the building in the same way as you have. Formulate your marketing strategies accordingly. Search newspapers and online portals for buyers who want a property with renters.
Figure out occupancy rate
To attract clients, it’s vital to figure out occupancy rate. Your current renters may not represent the exact and usual occupancy rate. This holds true if you have already revealed your intentions to them. Use occupancy figures of previous years to show the client the kind of income expected after buying the building.
Project rents as income
One of the big advantages of selling a rental Best Marana AZ Realtor property is that you can project current rents as a source of income. This proves lucrative for purchasers. Sum up your monthly income and use it judiciously while marketing. This will enable you to sell a property fast.
Try to entice existing inhabitants
Give your existing tenants the first priority while selling a building already occupied by them. Your current inhabitant will be more aware of the overall aspect of the building than a newcomer. However, if your renter is not willing to buy the building, then offer it to someone else. Assess whether the property requires improvement or not.
Have all papers in order
Your client will ask for the legal documents before buying the building. Make sure that you have all the papers ready. Hire a lawyer who will take care about the legal nitty-gritty of the entire process. Don’t leave any loopholes which can land you and your buyer in trouble in the future. Go through the documents properly before accepting the token amount.
A great way to attract the buyer’s attention is to offer discount. Highlight it while showing the property to the client. Also, project how the premises will benefit the purchaser in the end.
Seek cooperation of renters
Cooperation of tenants is must for selling properties already occupied by them. Be polite in your approach and seek their help. Ask them to keep the place neat and clean before the client visits it. A tenant turning hostile during building visit can cause a great deal of trouble.
There are many countries where landlords can end tenant lease with ample monetary compensation. However, in cases where lease can’t be ended, the new owner has to adjust with renters until the contract expires.