Every day landlords are retiring from the real estate rental business asking themselves, how do I sell my rental property? Selling a tenant-occupied rental can be a bit tricky, especially if your tenant has been there a while and doesn't want to leave. In this article, we will go over a few different ways in which you can sell your rental property.
Issues with selling a rental property
The first thing you need to be aware of is that selling a rental property is not as simple as just putting it on the market and waiting for an offer. There are a few potential issues that you could face when looking to sell my rental property.
Your tenant might not want to leave
This is probably the most common issue that landlords face when trying to sell their rental property. If your tenant has been living in the property for a while and is happy there, they might not want to move out just because you're selling the property. In this case, you might have to negotiate with your tenant or offer them some kind of incentive to leave (such as money for moving expenses). If your tenant is getting government assistance make sure to give them extra time to move. Their new property will need to be approved which can take up extra time.
When selling a rental property you lose out on conventional buyers and homeowners. This is because most people who are looking to buy a property do not want to deal with tenants. This means you'll likely have to sell to an investor or someone specifically looking for a rental property. Unless your property is a multifamily building the homeowner will want the tenant out before closing.
When selling a rental property showings can be tough, you have to coordinate with the tenants and potential buyers. The best way to do this is by giving your tenants plenty of notice before a showing and trying to be as flexible as possible with the times. Keep in mind that the more showings you have the faster your property will sell. Check your local tenant laws to see how much notice you have to give, often times you will need to give 24-48 hours heads up.
This can hurt the sale of the property as you will not be able to get as many showings as the tenat+nts schedule will need to line up with potential buyers. You will also lose out on some last-minute buyer appointments.
When selling a rental property the presentation will decide how much you will make. One issue landlords run into when they are looking to sell my rental property is aesthetics. Your tenant may not be a clean freak and that can really turn off potential buyers when they come to see the property. This is why it is important to do a walk-through with your tenant before putting the property on the market. See what needs to be fixed up and talk to your tenant about your expectations. This is one reason clean vacant properties often get sold at a higher price.
Sell My Rental Property
Now that we have discussed the issues with selling a rental property we will now discuss the answer to "how to sell my rental property".
Sell My Rental Property By Owner
The first way you can sell your rental property is by owner. This means listing the property on your own and working with buyers directly. The benefit of selling by owner is that you will not have to pay a real estate commission. The downside is that it can be time-consuming and you might not get as much for your property as you would if you worked with a real estate agent.
If you do choose to sell by owner make sure to price your property correctly. Research comparable properties in the area and see what they are selling for. It is also a good idea to have a lawyer look over the contract before you list the property. This way you can be sure that everything is in order and that there are no legal issues that could come up later.
Sell My Rental Property Through a Real Estate Agent
The second way you can sell your rental property is by working with a real estate agent. The benefit of working with an agent is that they will handle all of the showings and paperwork for you. The downside is that you will have to pay a real estate commission which is typically around 6%.
When you list your property with an agent they will help you determine the right price and market the property to potential buyers. They will also handle all of the paperwork and coordinate with the buyer's agent to schedule showings. Once an offer is made they will negotiate on your behalf to get you the best price possible.
Sell My Rental Property Fast
If you need to sell your rental property fast then you might want to consider working with a cash buyer. Cash buyers are investors who buy properties for cash. The benefit of working with a cash buyer is that you can close on the sale very quickly, sometimes within a week. The downside is that you will likely get less for your property than if you sold it on the open market.
If you decide to work with a cash buyer make sure to do your research and find a reputable one. There are a lot of scams out there so you want to be sure that you are working with a legitimate investor. You can also ask for referrals from people you know who have sold properties to cash buyers in the past.
Sell My Rental Property With A Non-Paying Tenant
If you have a tenant who is not paying rent then you might be wondering if you can still sell the property. The answer is yes, you can still sell the property but there are a few things you need to be aware of.
First, if the tenant is behind on rent then you will need to evict them before putting the property on the market. This can be a time-consuming and costly process so make sure you are prepared for it before listing the property.
Second, you will need to disclose the non-payment of rent to potential buyers. This is something that can turn a lot of people off so you will need to price the property accordingly.
Third, you might want to consider working with a real estate agent who has experience dealing with properties with non-paying tenants. This way they can help you navigate the eviction process and market the property to the right buyers.
Conclusion- Sell My Rental Property
In Conclusion, there are many options landlords have when they are thinking, "how do I sell my rental property"? Whatever option you are considering for selling your rental property consider reaching out to Illinois Real Estate Buyers. We have worked with many landlords seeking to sell their rental properties and have purchased many of them as-is with their tenants in place. If you are thinking to sell my rental property to Illinois Real Estate Buyers, call us or fill out the short form below and someone will reach out to you about selling your rental property.