Do you have an investment property in Florida that you wish to put on the market? If you need to sell your house with tenants, the process can be a bit more difficult. In our most recent post, discover additional insights on navigating the sale of your property with tenants in Florida.
As a property owner, there might be a time when you decide to sell your home, even if you currently have tenants. Ultimately, it is your property, and you have the right to sell it. While informing your tenants may not pose an issue in some cases, there’s a concern about potential tenant loss, leaving you with an unoccupied property during the sales process. It’s crucial to acknowledge that tenants have rights, and it’s important to avoid any violations. In the following discussion, we address common issues that arise when selling a house with tenants in Florida.
The Lease Situation
What does your lease situation look like? If you have a month-to-month lease, ending it shouldn’t be too difficult. You will need to provide a fair amount of notice to your tenant, typically 30-60 days. If you are in a fixed-term lease, things are a bit different. If you want to sell mid-lease, you’ll either need to sell the property to an investor who will honor the lease, or give your tenant some sort of incentive to move out. Some leases contain early termination clauses that would allow you to end the lease early in certain situations. Remember, the tenant has rights under the Fair Housing Act, and if you violate those rights, you could find yourself with a hefty fine or legal bill.
If You Have Difficult Tenants
If your tenant has breached the terms of their lease, initiating an eviction should be a straightforward process. However, if the tenant refuses to vacate, the eviction proceedings can become prolonged and challenging. Many landlords strive to steer clear of dealing with evictions whenever possible. Opting to sell your property directly with tenants in place enables you to sidestep the eviction process and swiftly move on with cash in hand. Numerous direct buyers are willing to take over the existing lease, allowing business to continue without disruption. In cases where tenants violate the lease, the buyer will handle the eviction process as required. Moreover, a direct sale spares you the need to list, market, and showcase the property, minimizing potential tensions with difficult tenants.
Selling Directly
Numerous advantages make a direct sale an appealing option for individuals needing to sell a property with tenants in Florida. Investors find it advantageous to acquire a property with an existing, well-behaved tenant, as it eliminates the need for them to invest time and money in advertising, marketing, and property showings. The hassle of tenant screening and background checks is also bypassed, as these steps have already been completed. Even if the property harbors a challenging tenant, seasoned investors are adept at navigating the eviction process if necessary, having likely encountered similar situations in the past without being deterred by the procedure.
You or the future buyer may want to do cash-fo-keys to get the property vacant. Usually what that involves is paying a small sum of money to the tenants to get them to move out. This would need to be accompanied by signed agreements and the money not be paid until the property has been vacated. When you sell directly, they may be willing to make that payment themselves, keeping you from having to interact with the tenants directly.
If you want to sell a house with tenants in Florida, there are certain ways to go about doing it. Always make sure you are being fair to your tenants, and giving the proper amount of notice. Not only is it the law, but it is the right thing to do.