Do you need to sell your house with tenants in Kentucky? If so, you may be wondering what the process involves and how it will affect you and your tenants. In this blog post, you will learn about the process of selling a house with tenants, as well as what buyers and sellers can expect.
Additionally, we will discuss some things to keep in mind when selling your property with tenants. If you are considering selling a house with tenants in Kentucky, keep reading!
The Positives of Selling a House with Tenants
There are a few upsides to selling a house with tenants.
An Enticing Offer
The convenience of buying a house with tenants already in place is that the buyer does not have to worry about finding new tenants.
A Greater Sales Price
The income stream provided by tenants can also increase a house’s price.
An Alternative to the Eviction Process
By selling the house with tenants, you can steer clear of evicting your current tenants.
The Negatives of Selling a House with Tenants
Tenants also pose a few complications when selling a property.
A Prolonged Process
While some buyers may find buying a house with tenants in place appealing, others may become disenchanted, making it harder to sell.
A Potential for Additional Expenses
You will need to accommodate your tenant’s schedule if the house needs repairs or a facelift so that it will be more attractive to buyers.
Check If You Can Sell a House with Tenants
When selling a house with tenants, you should first check your lease agreement to make sure you are in compliance with tenant rights. Unless you have a valid reason to evict your tenant, you should wait until the lease or rental agreement term is up before you expect your tenant to leave.
Kentucky’s Eviction Laws
To evict a tenant under Kentucky law, the landlord must have a legal reason for doing so. The most common reasons for eviction are nonpayment of rent or violation of the lease agreement. If the landlord wishes to evict a tenant for one of these reasons, they must first give the tenant notice.
Nonpayment of Rent
When tenants fail to pay rent when it is due, Kentucky landlords can evict them. In order to file an eviction suit, the landlord needs to notify the tenant seven days in advance. In the notice, the tenant must be informed that they have seven days to pay the rent, otherwise, the lease will terminate, and eviction proceedings will begin.
If a tenant violates the lease or rental agreement, a landlord may evict them as well. Landlords are required to notify tenants that if they violate the lease, they will be terminated within 15 days unless the lease violation is rectified (such as stopping a specific act or making a payment for damages).
The landlord must only give the tenant a 14-day notice stating that the lease will terminate at the end of the 14 days if the tenant commits the same lease violation six months after receiving notice for the first violation. However, there is no requirement that the landlord gives the tenant any time to correct the problem.
Is Eviction The Answer?
The eviction process, though a legal alternative when necessary, can be a messy one. It is a good idea to give your tenants notice before listing the property, regardless of the circumstances. They will be able to find alternative accommodations and avoid conflict in the long run if you take this step.
Moreover, as a landlord, it’s also recommended to review Kentucky’s landlord-tenant laws in order to understand your rights and obligations.
How to Sell a House with Tenants
There are three ways to sell a house with tenants: you can list yourself, hire an agent, or sell to a home buyer.
The first option is to list the property yourself. If you are comfortable handling a home sale’s marketing, negotiations, and closing, this option may be convenient for you. Additionally, you will save money by avoiding real estate commissions and fees. Advertising your property online, in flyers, or with a For Sale sign are all excellent options.
Hire an Agent
The second option is to hire a real estate agent. If you are short on time or have little experience negotiating home sales, this may be a good option for you. However, when the sale is final, an agent’s closing fee is charged, which is usually 6% of the sale price.
Sell to a Home Buyer
As a third option, you might consider selling your house to a home buyer. Using this method is ideal if you need to sell the house quickly and don’t want to spend more money on it. The home buyer will take care of all closing costs, so you won’t have to spend more money on the process.
A Few Things to Consider Before Listing Your House for Sale with Tenants
When selling your property while tenants are still living there, you must inform them in advance. The details of your expectations should be documented in a letter. If you are upfront with your tenants, they are more likely to cooperate with you.
The letter should include the date, tenant’s name, and property address. Documents pertaining to the rental property must contain identifying information in order to ensure the tenant receives the correct documents.
The next step is to explain to the tenant what will happen next as you prepare to sell the house. In other words, when you plan to put the house on the market, if any showings are scheduled, or if anything needs to be done during the selling process.
Preparing the House for Sale
Once you’re ready to sell your house, there are two things you need to take care of:
Talking to Your Tenant
Talk to your tenants about selling the property. The most important thing is to let them know they don’t have to move out and that you will work around their schedule. It is also a good idea to inform them about potential showings and open houses, so they are prepared.
Preparing The House for Sale
This involves taking care of any repairs or upgrades that need to be made. Making a good first impression on potential buyers is very important. Ensure that all utility payments are current as well.
Sell My House With Tenants Fast in Kentucky
Having tenants in a house can make selling it stressful and time-consuming, especially if you’re struggling with landlord-tenant relations. When you work with Favor Home Solutions, you receive a fair cash offer for your house without spending an extra dime or worrying about your tenants. Our team is prepared to buy your house as-is, so you can put cash in your pocket and move on with your life. No hidden fees or commissions! Get started now!