Selling when a lease is active
I want to sell my property which is currently tenanted on a lease with six months to go. Am I able to sell it while it is currently leased?
Yes, you are able to sell the property - any intending purchaser MUST be told there is a current lease in place and the property will not be sold with vacant possession. The tenant has the right to remain in occupancy until the end of the lease term unless both parties negotiate and agree to terminate the agreement. If the property appeals to other investors, it may actually benefit you to have a solid tenant in place.
My property is for sale with a lease expiring in about one month. The tenants are making it difficult for the agent to gain access to show prospective buyers, and are leaving the property untidy when they do. What should I do?
This depends entirely on your personal circumstances. Discuss your needs and concerns with your agent and they can help you with your chosen direction. Generally, however, with only a month until the property is vacant, if there is no urgency behind your decision to sell or changes to the market aren't imminent, it may be best to hold off with the marketing of the property until it presents at its best.
Remember, however, that you must provide the tenants with the appropriate notice to vacate at the end of the lease and after they have moved, you will not be receiving the rental income you would have. There are many things to take into consideration, such as a property with a residing tenant being more attractive to an investor, so speak with your agent about what's best for you.
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