Selling a house with tenants in Colorado can be an extremely challenging and difficult process, especially if you are in unfamiliar territory and haven’t dealt with a situation like this before. The main thing that you want to avoid during this situation is provoking the tenant and making them angry, because then they can cause havoc for you and your property, and make it even more difficult for you to sell when it finally comes time. You may have to offer the tenant an incentive for leaving the property in good condition once you close on the deal, in order to deter them from becoming a problem when the deal gets to the closing table. Oftentimes, if you are willing to give the tenants a small cash settlement so they can transfer their living quarters to another property, they will be more willing to leave without causing additional problems for everyone involved.
Do My Tenants Have To Play Nice When I Sell The Home?
As the property owner and landlord, you are entitled to sell the house to whoever you want to, and this is important to remember. The tenants may be occupying the property, but you are still the owner and it is within your rights to sell whenever and to whomever you choose. If you do decide to sell, the lease agreement that you have with them will still remain in place. A lease agreement is not breached simply because you are choosing to now sell the home, and this is a common misconception that a lot of landlords have, so it’s critical that you are able to make this key distinction. Tenants will have to be given at least 24 hours notice before someone enters the home, and they must have reasonable access to the property.
What if I Don’t Have a Standard Lease Agreement?
If you aren’t equipped with a standard lease agreement, then the lease will typically operate on a month to month basis, where the tenants rent will be paid at the first of each month. If this is the situation, then you must give the tenants at least a one month window that they can use to vacate the premises before you close on the deal and sell the home to another buyer. If the tenants have been renting the property for more than 12 months, then they must be given at least a 2 month window to vacate, depending on the local ordinances and state laws. Check with a local real estate attorney in your local area to find out more detailed specifics about this process. Click here to learn how to sell a house in probate in Colorado.
Advice On Getting Tenants To Play Ball When Selling A Home
Keep in mind that selling your home with tenants still living inside can negatively impact the sale price.
First of all, consider how the potential buyer could be swayed by the negative opinion of the tenants, if they are unhappy about their current situation. Another thing to consider, is that it will be extremely difficult to sell the home through traditional methods while going through a painful eviction process.
The best way to sell the home is to attempt to get the tenant on YOUR side. There are several ways to do this.
- Inquire with them about how you can make the eviction process easier.
- Make sure to give the occupants at least 1 days notice.
- If a buyer wants the property without the tenants, then give them an incentive to leave.
- Offer some type of cash bonus for vacating the premises and leaving it in great shape.
- If the tenant is really hard-headed, offer them cash money to leave the home without a fight.
- Ask them when they will be available to show the home.
- Offer to pay the tenant every time they show the home, and let them know you will pay them out once the house finally sells.
Selling A House With Tenants In Colorado<<- Get an Offer Here
Time is money, and the faster you get the home under contract with a buyer and sold, the faster you can get on with life. Selling traditionally with a tenant offers many obstacles to overcome, and can make a tenant angry. Maybe even to the point of them damaging the property.(They can do a lot of damage!)
In short, selling a house with tenants in Colorado can be extremely difficult. If you need to evict a tenant, let us worry about it!
If you’re looking for an offer on your property, HBR Colorado can buy property with existing tenants! Get a free, no-obligation offer by filling in the quick form below.