Selling a rental property while you have tenants in place can be quite tricky. It is certainly harder than selling a vacant property. However there are good and bad sides to having a tenant in place.
The good
The bad
Things to do when selling your investment property with tenants
You should inform your tenant of your intention to sell the property as soon as possible. Being open and honest with them will make them more likely to cooperate in return.
Selling the house can be an ordeal for your tenant. The burden of making sure the house is neat and tidy is their responsibility and they may also need to look for another place to rent. So for their troubles, you can give them some form of compensation. It is not uncommon to offer them a rent discount. Some landlords even offer free rent for a week or two during the sale period.
When it comes to house viewing and inspection, the law in most Australian states requires that tenants are given written notice of at least 24 hours before showing the property to potential buyers.
If you’re considering asking your tenant to leave because you want the property vacant, it’s imperative to understand your lease. You must comply with the legal requirements when giving a ‘notice to vacate’ according to your state’s legislation. These are as follows:
Talk with your agent or your property manager to ensure a smooth selling process not only for you but to also for your tenant.
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