Selling your investment property while it’s still tenanted may seem daunting. By following these three steps and enlisting the help of a productive sales agent and property manager who work collaboratively with the tenant, you’re on your way to a smoother, more profitable sales campaign.
1. Keep the lines of communication open
With so much at stake, you want to be transparent and open with your tenants, so effective communication is always essential. Although some states have strict regulations around inspections of rental properties and notice periods for gaining entry, being open and honest with renters from the beginning of the sales campaign can help build mutual respect and a solid foundation for sale.
Reputable sales agents and property managers will contact your tenant before listing the property for sale to discuss what may be required of them and to hear and resolve any of their concerns. They’ll work with them to establish the most convenient times to hold an inspection or open home to ensure as little disruption to their daily routine as possible. Experienced property managers will be mindful of tenants who may be nervous about strangers coming through their home and their worry about potentially needing to find somewhere else to live if the property is sold to an owner-occupier.
2. Help tenants present your investment well
With so much competition in Sydney, how your tenanted property is presented can make all the difference, and let’s face it, some properties may need extra care to showcase their best features. Engaging with a professional cleaner will help resolve stubborn stains and attend to nooks and crannies that may be missed by the tenants, like ceiling fans, grout or blinds. Gardens can also be overlooked or seem half done, so consider asking a professional gardener to attend to the lawns and gardens regularly throughout the sale. This will ensure that the property is presented well both inside and out, making the experience less stressful for everyone involved. It also makes the home a nicer place to live.
3. Find what makes your tenants smile
The relationship between the owner, tenant, and agent can be complicated, especially when you’re asking tenants to allow strangers to inspect their and have it constantly well-presented. Incentivising renters can ease the process. Find out what would make your tenants’ day. A weekly cleaner, a nanny, cash/ gift cards, or a gardener could make a world of difference to busy parents or professionals.
Offering rental compensation as a thank you for the inconvenience throughout the sale campaign can assist in transitioning the renter through the process. Or, if the tenant is locked into a fixed-term rental agreement, offer a penalty-free tenant break option should they wish to move on and find another property, which would leave your property vacant for sale. Although this would mean a loss of rental income, it would allow you to make minor improvements to the property before the sale, which may contribute to a higher sale price.
It’s important to chat with your sales agent and property manager to determine which incentivisation works best for your tenants, you, and your property. By working together to utilise these strategies, you can make selling your property while it’s tenanted a much smoother process with a more successful result.
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Jaime is a seasoned Senior Property Manager and Director with over two decades of expertise. She excels in negotiation, delivering impressive outcomes for her clients. Her focus lies in Sydney’s East and Inner West, with a profound understanding of their distinct features, which she has acquired throughout her career.
She’s a top-notch professional known for her proactive approach, attention to detail, and excellent communication and organisational skills. Her performance-driven mentality and efficient yet calm demeanor result in exceptional service for both landlords and tenants.
Book your one-on-one, obligation-free, consultation with Jaime now. Call her on 0488 600 168 or email firstname.lastname@example.org.