How to Sell Your Property with Tenants

1. Communication is key
When you decide to sell and a lease is still in place, ensure you make the tenants aware of your intentions as early as possible. This allows the tenant to prepare for the upcoming sale and make alternative arrangements for the end of their lease if required. Between two to three months prior to advertisement of the property is a good rule, however if that’s not possible, the tenant should be advised as soon as you have made your decision to sell.

Keeping up communication throughout the entire process is very important to maintain a positive relationship. A good rule of thumb is to ensure the tenants are updated at least weekly during the viewing process, and whenever key dates are known – such as the first advertisement, auction date and settlement date. Best practice is to inform tenants both verbally and in writing, so no misunderstandings are made.

Should the final buyer decide to continue the lease, it’s also important to let the tenants know if that is an option as soon as possible.

2. Be considerate
Giving your tenants notice of any showings ahead of time and agreeing on a time that’s suitable for both parties is very important. There are restrictions on times that you can show a tenanted property, and your real estate agent can help make sure you comply with these regulations. Restricted times include:

The landlord/agent or third parties must not:

• enter before 8am or after 8pm,

• enter on a Sunday or public holiday or

• stay longer than necessary (unless the tenant consents)

Tenants must be advised of a viewing 14 days prior, and then 48 hours before each subsequent showing. A property can only be shown twice each week unless the tenant agrees to more frequent viewing.

It’s also worth discussing showing times and dates with tenants to ensure they are included and feel valued. Cooperation with your tenants is key to successful property viewings. Make sure they are familiar with the agent who is conducting the showing. The tenant is inviting strangers into their home after all and will appreciate your consideration, and this can include being flexible around last-minute viewings.

3. Make a good impression
The tenant must keep the property in a “reasonable state of cleanliness” during their tenancy, but this is open to interpretation. If extra cleaning is needed to make the property look good for buyers, using a professional cleaner could really put your property in its best light. There’s a difference between a normal, everyday clean and cleaning a property for sale, particularly for outdoor areas and external windows and walls.

Check with your tenants for repairs that are needed. There may be small jobs that have been overlooked and it’s good to check in and complete these prior to showing the property so that the residence is at its best. It may be worthwhile having a third party such as a real estate agent visit the property for a walk around and a visual check of what needs to be done. Small annoyances may have been tolerated by tenants that need fixing prior to showing your property.

Gardening is often an area where a little professional help to spruce up the property for curb appeal, adding some plants and a little paint can make a big difference on a small budget, and create very little disruption for tenants. Even small touches such as having a professional gardener in to mow and edge the lawn can create a good impression when your prospective buyers arrive, and tenants will appreciate you taking this job on. Just a word of caution: don’t put in plants that require a lot of maintenance prior to viewings – even the most patient tenant won’t like being given a lot of extra work to keep a garden or plants looking good for the benefit of a sale.

Selling property can be a difficult experience at the best of times, but it doesn’t have to be. Whether it’s ensuring the property is tidy and well-maintained or providing access to real estate agents and tradesmen, having the cooperation of tenants will be a definite asset to the sale of your property. Use these tips to ensure your tenant is treated fairly and your property will be shown to the best possible advantage. The cooperation of your tenants is key to getting the best possible price for your sale, and your real estate agent can help.

From setting up suitable viewing times to providing feedback on the condition of the property and presentation, your real estate agent is vital in helping you sell a property with tenants. Using the expertise of a professional real estate agent in selling a property with tenants will help you navigate the sales process and gain the best price for your property.