You've decided to sell your Savannah investment and move on to other projects. There's just one snag. You have a tenant in place but don't know where you stand or what to do.
According to Law Depot, the existing lease agreement transfers to the new owner when you sell investment property with a tenant in place. While the new owner may choose not to renew it at the end of the term, your tenants should not face eviction because you have decided to sell your property.
Don't worry - selling a rental property with a tenant in place can work to your advantage. This post will provide some key real estate selling advice that can turn this potential headache into a unique selling point.
Understand Your Rental Agreement
Before deciding to sell with a tenant in place, check the rental agreement you have in place. If your tenants have a long-term lease, they can remain in the property until the end of their lease. However, if it is a month-to-month lease, you have more flexibility.
In Georgia, tenants must give 30 days' notice to end a month-to-month lease, and landlords must provide 60 days' notice. Depending on your lease and time constraints, you may find it more practical to wait until your tenants move before searching for a buyer.
Crystallize Your Selling Strategy
It's important to have a clear focus to your rental property sale before deciding on how to list it.
You may find it hard to attract an owner-occupier with a tenant in place, as they doubtless want to take possession as quickly as possible. Instead, consider marketing your rental directly to investors. Rather than seeing your tenants as a liability, they may see them as a great way to earn money from day one.
Emphasize the Cost Savings
If a potential buyer is looking to purchase an investment property, highlight that they will save money on:
- Tenant screening
- Property marketing
- Potential voids while locating a new tenant
Next, you need to find the right realtor with the specialist knowledge to effectively sell to buyers seeking investment properties.
Work With an Experienced Property Management Company
Property management companies do far more than manage and maintain rentals. They are also experts on how to sell a rental property. Best of all, they may have many motivated buyers on their books that they can match with your rental.
They can help you with the following:
- Communicating with tenants
- Advising on selling strategy
- Preparing the property for sale
A property management company can also use its in-depth knowledge of the local property market to your advantage. They will know what to emphasize to attract the right investors who are in a position to take on a rental with tenants in place.
HomeRiver Makes Selling a Rental Property Easy
At HomeRiver Group, we understand that selling a rental property with tenants in place could be overwhelming. But don't worry - we've got your back.
We are uniquely placed to help you find motivated buyers looking for what you're selling-homes with a built-in rental income. There is no need for time-consuming and costly tenant screening and marketing. You get to sell your rental, and they get an immediate source of income.
Contact us today for rental property sales tips and more for your Savannah property.
