Renting
out a property always comes with some trepidation.
Landlords run the risk of signing bad tenants who
don’t pay, or who damage the home and generally cause a nuisance.
For every bad egg, however, there are plenty of
investors who land a great renter – the kind you would want to stay for a long
time.
These tenants you happily trust with your property
because you know they will take care of it; these are the ones you want to sign
long-term contracts.
Should the day come when you want to sell your
investment property, a good tenant could just wind up being your buyer, too.
Selling a home to a tenant is appealing because it
offers the promise of being a less complicated process than a standard property
sale.
You don’t need to worry about dealing with real
estate agents, negotiating over commissions, approving marketing campaigns and
liaising with would-be buyers.
Nonetheless, it has its downsides, as you could be
missing out on the real profit potential of your property if you give your
tenant first dibs.
There could also be an expectation that you’ll give
them a discount, especially if you’re not paying a real estate agent a hefty
commission.
Tips for selling your property to a tenant
Seek professional advice and learn as much as you can about the
current market and trends.
Have your property professionally valued so you know what it’s
worth, and do your research on what properties nearby are selling for.
As a vendor, having a good rapport with the tenant is important as
it can make the entire process a whole lot easier.
Upon selling, ensure you seek legal advice and have a solicitor peruse
the contracts for both parties.
RealRenta has all the
tools that a property manager has, but at over ¼ the cost of a property
manager.
Join now and the cost
is less than a cup of coffee a week to manage your rental property
RealRenta also has a
free vision, so why not check it out
Jason Gwerder
Tuesday, 2 March 2021
