selling rental property : ezLandlordForms

m

Mathew C

started a topic over 10 years ago

What rights do I, the owner or the tenant have if I need to sell the rental property have?

R

Richard W

said over 10 years ago

You have all of the right to sell the property. You would want to notify the tenant. Now the new Owner is held to hold up the rest of the lease but may evict the tenant if they have other plans for the property.

B

Britanica M

said over 10 years ago

As mentioned above, you give the notice to the tenants and they have to comply with letting possible buyers viewing the house. I was recently looking at homes for sale in which the owner was still renting the home out. He stated good words about the tenants and ensured they were always on time with payments - BUT if I wanted the house for my own personal use, I am responsible for evicting them.

S

Scott H

said almost 4 years ago

First thing is see if the tenants want/can buy it.

J

Jorge G

said almost 4 years ago

HOW MUCH is the asking price for the property, send all the info if u can... Thanks

L

Lori G

said almost 4 years ago

Not sure of the california state law but here in Oregon you could sell your home and you would need to give the tenants a 90 day notice. It doesnt matter if they have been financially hurt by covid. This is such a unique situation that you should definitely engage an attorney for legal advice. So many ways to take a wrong turn. Good luck!

Y

Yolanda R

said almost 4 years ago

You have to honor their lease, not just give them 90 day notice. I tried selling a property during Covid, the tenants had 5 months left on their lease. They were super paranoid about showings, would not leave the unit during showings. They refused to accept showings that did not give at least 24 hours notice (23 hours was not good enough for them). They basically rejected all but 2 requests for showings. They refused to sign a release of liability for Covid. Basically made it very difficult to try to sell. I offered to give them 2 months worth of rent back if the would vacate, they refused..... stayed for the full 5 months, until the lease was completed. Interested investors asked if tenants would renew, they said they would not. I eventually decided to pull t off the market, it was such an unpleasant experience.

M

Mary J

said almost 4 years ago

I was approached by a realtor a friend of mine suggested I call but then she wants to sell all 3 of my rental properties in AZ. I am over 65 and according to our income we should be able to walk away with a good profit but then should I purchase another property? I feel like I am just getting back on the Merry-go-round again. I have a positive cash flow of 41 percent on one and 34 percent on the second even with mortgage payments and repairs. My third property is -34 percent for the year 2020 because I installed new AC system, and now it needs some repairs on the eves and trim form rotted wood. I hadn't even though about the Covid-19. So when is it going to be a good time to sell? My husband doesn't want to sell but he doesn't manage them I do. Any advise from anyone??mj

A

Angela L

said almost 4 years ago

I have a couple of rental houses in Kansas. One of them was not making the rate of return my daughter and I (we co-own that rental house) were looking for and we have had that property for 7 years so we decided to sell it. The existing tenants who have been there about six years advised us they needed to move to a 3 bedroom house from this 2 bedroom due to the addition of an extra child to their family. Instead of the 1 year renewable lease they asked for a 3 month extension which we granted and signed. Meanwhile we then listed the house for sale and a company made us a cash offer which we accepted. However, on the contract with the company we listed that tenants are finishing up a 3 month lease and will not be moving until the 1st week of May. The buyer of the house was informed of this ahead of the contract signing. Immediately after the contract was signed today for the sale of the home one of the realtors (ours actually) phoned to say the buyer wanted us to send him a check for $500 which is the security deposit with us that we have held ever since those tenants moved in. Since the tenants may well be moving out in early May it is not up to us to commit the tenants to signing a lease with what will be the new owner of the property, nor - in my opinion - would it seem legal for us to pass the security money over to the buyer of the house. After all, that security deposit and the lease covering it is a document between we, the current owners, and the existing tenants - not with the new buyer. Nothing was said by the buyer about the security deposit previously and there is no mention of that aspect of it in the contract. The issue was raised for the first time AFTER we had signed the contract. Any thoughts? We have told the buyer we intend returning half the security deposit to the tenants (they do owe us some money so we are splitting the difference) and told the buyer that he is responsible for making his own arrangements with the tenants should he decide and they agree to sign a lease with him. What has just been conveyed to us late this afternoon thru one of the agents doesn't sound quite Kosher to me.

M

Mary J

said almost 4 years ago

I had a similar situation with the realtor I used to purchase my properties and all security deposits were included in the contracts. But I am sure since he was to be my property manger he made sure this was written in the buyers contract. Also since I lived in another state and he was planning on managing them. Long story short after 5 years I terminated his services. I had to send him a certified letter in which I reminded him that the tenants security deposits belonged to the tenants and he needed to make sure those were given to me. The majority of it was returned but he kept everyone of my tenants key deposits since I didn't mention them. I would stand my ground and insist that since tenants security deposits were not written in the contract you feel you are under no obligation to the buyer. You have already informed the buyer that the tenants owe you half of security deposit. Your realtor should be supporting you in this otherwise remind him that reviews and ethics could come into play if you should contact Consumer Financial Protection Bureau 1-855 411-2372 or try their website consumerfinance.gov/askcfpb . Also try contacting the Board of Realtors in Kansas City.

A

Angela L

said almost 4 years ago

Thanks for your input, Mary J. There is nothing written in the contract with regard to the security deposit. The contract does cite that the tenant has an additional 2 months before their lease with us is up and the tenant info was included in the MLS listing. I sent an email to the agent who purports to represent us late last night advising her that I intend contacting a real estate/contract lawyer in Kansas today to determine the legalities of this situation before doing anything further regards transfer of the tenant's security money.