Sell With Tenant?
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Sell With Tenant? (by Steve [OH]) Jun 11, 2019 3:46 PM
       Sell With Tenant? (by J [FL]) Jun 11, 2019 4:10 PM
       Sell With Tenant? (by Deanna [TX]) Jun 11, 2019 4:14 PM
       Sell With Tenant? (by Pmh [TX]) Jun 11, 2019 7:28 PM
       Sell With Tenant? (by AllyM [NJ]) Jun 11, 2019 8:36 PM
       Sell With Tenant? (by Landlord ofthe Flies [TX]) Jun 12, 2019 3:55 PM
       Sell With Tenant? (by Ray-N-Pa [PA]) Jun 13, 2019 8:41 PM

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Sell With Tenant? (by Steve [OH]) Posted on: Jun 11, 2019 3:46 PM

I'm getting ready to sell a sfh and I'm wondering if it might be

better to put a good tenant in there first. It might be attractive to

someone looking to get in the landlord game. I would think, too,

that it might make the property more valuable. What do you think?Thank you.!!


Sell With Tenant? (by J [FL]) Posted on: Jun 11, 2019 4:10 PM

I would just sell it vacant.

Sell With Tenant? (by Deanna [TX]) Posted on: Jun 11, 2019 4:14 PM

Was there something lacking in yesterday's answers? ;)

To summarize on the vacant side of the argument--

* It will show better if empty

* You won't have to worry about anyone who has an incentive for it to not sell

* People probably don't want to be stuck with your tenant

* LL's prefer to set their own rental prices, not be stuck with your rents

* You can sell it to an owner-occupant, even though the area is heavily renters, so you consequently have a bigger pool of prospective purchasers

* It's bad business to rent something that is just going to be sold three months later

To summarize on the rented side of the argument--

* Your buyer may be bound by a commercial loan that requires their purchase have a tenant already in place

* You don't want to go for several months without rent while you wait for your purchaser

You're welcome. ;)

Sell With Tenant? (by Pmh [TX]) Posted on: Jun 11, 2019 7:28 PM

I have sold several occupied houses. the advantage is buyer getting rents without down time. so actually you can push sale price.

Sell With Tenant? (by AllyM [NJ]) Posted on: Jun 11, 2019 8:36 PM

Investors want a tenant and the income is a plus. But you are locking out people who want to live there. Just sell it as a house and you have more customers.

Sell With Tenant? (by Landlord ofthe Flies [TX]) Posted on: Jun 12, 2019 3:55 PM

No!!!!!!!!!!! Bad idea if this is a single-family house. If it's a duplex or apt building then yes. But single-family no.

By selling it with a tenant, you limit the population of buyers to ONLY investors. That's a small portion of the people interested in your house. Also if this is a new tenant, there won't be a payment history and the buyer will assume you filled it with a warm body to make it look more successful. I prefer to screen my own tenants and not be saddled by the previous landlord's ability to screen, or their lease (if any). If the previous landlord was lazy, then I have to retrain the tenant too. Plus, while vacant, it's a good time for me to do any improvements and capture full market rent and not start off behind the 8-ball.

All of these things result in higher risk for me and lower price for you. I can't see how it makes a house look more attractive.

Sell With Tenant? (by Ray-N-Pa [PA]) Posted on: Jun 13, 2019 8:41 PM

What does the tenant that you plan on keeping in the unit think is going to happen when a new person buys the place? Are rents going to stay the same in their minds? If not, would a tenant ever try to make sure you don't ever sell?

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