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  • Mistakes that Salt Lake Sellers Make. Number 5

    Posted on October 4th, 2010 admin No comments

    “My tenants are really good about this whole sales thing.  I don’t want them disturbed unless the buyer is serious.  We should have 24 hour notice.”

    If you are selling a multi-unit building or other investment property then yes, that is a reasonable request.  Skip the following rant.

    If you are selling a single family home or condo then it is very unlikely that the buyer with the highest and best offer will be interested in keeping your tenants.  In short, they will not be investors.
    Buyers who are not investors are scared witless by occupying tenants, even if the lease is up before closing.  They don’t like the idea of buying something that was a “rental”.  It just isn’t sexy.
    Selling a rented single family home puts the seller between a rock and proverbial hard place.  It is expensive to vacate paying tenants and stage the home for sale.  Every day on the market is a loss in income.  However the ultimate cost is likely far less because a vacant home that is prepped and staged is much easier to show and will bring a higher price than one that is being occupied by tenants who have nothing to gain by the sale of the property.
    If you really must keep the tenants then I suggest that you put in writing an agreement with them to keep the home in top condition and available to show on short notice in exchange for a cash bonus at closing.
    But only at closing.  Keep the carrot on a long stick.