Owning a rental property can be a wonderful journey that earns you a decent income on the side. But it can also be a disaster. And with the uncertainty of 2020, more landlords are having poor experiences with their rental properties. The economy is strained, many tenants are having a hard time paying their rents and rent prices are falling in many areas. If you’re looking to sell a rental property in Las Vegas, now may be the right time.
But what if you have tenants still living in the property? Can you still sell it? It’s possible. Here’s everything you need to know about selling your Las Vegas rental with tenants still living inside.
What Type of Rental Agreement Do You Have?
If you have a month-to-month lease, it won’t be a problem to sell the home while it’s occupied. You do have to give the tenants proper notice, which is typically 30 days before the time you want them to move out.
However, if you have a fixed lease, things get a little more complicated. You can’t just terminate a lease because of a change in ownership. That said, you do have a few options:
Wait until the lease expires.
While this won’t give you an immediate solution, you can sell your home to a cash buyer once the lease expires. A cash sale usually goes through in about a week, so really all you have to do is ride out the time left on the lease. The best part is, you sell your home as-is, so there’s nothing you need to fix or clean after the tenants leave.
Sell the property to your tenants.
If the tenants really enjoy your property, they may be willing to buy it. They’re already familiar with the home and the neighborhood, so this may be a no-brainer for them. Plus, you can give them a discount because you don’t have to pay realtor fees.
Offer “cash for keys.”
“Cash for keys” is a strategy that has you selling the property to a cash buyer and then negotiating with the tenants. This strategy works well for some people, but it can be expensive. To do this, you may have to cover moving costs and the security deposit on the tenant’s new place. But, it might make sense with the cash you’re getting from the sale.
Know the Laws to Ensure a Smooth Sale
It’s important to educate yourself on the laws in Nevada, as there are a number of protections for tenants. In many cases, it’s simply best to let the lease ride out and then turn around and sell the rental to a cash buyer so that you’re not responsible for anything further. We Buy Any Vegas House happily buys rental properties, even those that are ugly, distressed or still have tenants living inside. Contact us today for a free, no obligation cash offer.