Owning rental property is a nice way to make extra income, but what if you’d like to sell a property while a tenant is still living there? Can you sell a house with a tenant in it? Learn the answer below. And if you need to sell your house ASAP, call Alan at Pyramid Properties. We buy houses in Memphis in any condition.
Can You Sell a House With a Tenant in It in Memphis?
Whether or not you can sell a house with a tenant in it depends on the lease agreement you’ve made with the renter. If the tenant is on a month-to-month lease, you can simply wait until the lease is up to sell the property. Per notice requirements and Memphis landlord-tenant laws, you’ll have to give the tenant 30 days’ notice that you’re planning to sell so they have enough time to find a new place to live.
If the tenant has a fixed-term lease, the property sale process becomes more complicated. Again, you could wait for the lease to expire, but if that won’t happen for another six months or more, you’ll be waiting a long time to sell the property. In some cases, you may be able to terminate the lease early. Reasons for early lease termination include:
- Not paying rent
- Destroying rental property
- Violating a no-pet policy
- Subleasing
Another option is to offer the tenant cash to move out early. You could offer to pay for moving expenses, security deposit fees, the first month’s rent for a new home, and any other costs. How much to pay depends on how badly you want the tenant out.
Lastly, you could sell the house to another investor with the lease still active. In our state, both the security deposit and lease must transfer to the new owner. You’ll have to notify the tenant that the property has a new owner who will be handling the lease agreement.
Challenges of Selling a Tenant-Occupied Home
Can you sell a house with a tenant in it? Yes, but selling a tenant-occupied home can bring challenges when it’s time to show the property to prospective buyers. Per tenant rights laws, you’ll need to give the renter at least 24 hours’ notice before showing the property, which can be inconvenient.
Another challenge is that the property won’t be “show-ready.” It may be cluttered or even dirty, which can turn off would-be buyers.
If you’re eager to sell your tenant-occupied property ASAP, your best option is to sell to an investor like Alan at Pyramid Properties. Alan buys houses in any condition, so there’s no need to stress over that rental house not being in picture-perfect shape.
Can You Sell a House With a Tenant in It? Contact Pyramid Properties To Learn More About Landlord Obligations
Can you sell a house with a tenant in it? When you work with Alan at Pyramid Properties, yes! Alan makes it easy to sell your house in any condition, and you’ll get a fair price for the property too. To learn more about how it works, call Alan at (901) 504-5555.