The Blog Why you should sell your investment property vacant
Why you should sell your investment property vacant
With the current bullish market conditions, we’ve found many investors looking to offload their properties. This is largely due to the mistaken belief that a fabulous return on investment is guaranteed, but a huge sale price is never a certainty – even in a market like this. And in our experience, if there’s one thing that can have a huge impact on the final figure it’s the presence, or rather absence, of a tenant.
While we’ve successfully sold investment properties with tenants present, we really wouldn’t recommend it for a variety of reasons.
In a perfect world a tenant would be happy enough to help you sell your home but in reality, many will resent the process. And who could blame them really? Most tenants are on fixed term leases, paying good money and many of them won’t feel comfortable letting strangers through their home.
We’ve had plenty of experience with uncooperative tenants including one who wouldn’t allow home opens, but only private viewings with a weeks’ notice! Ultimately, this impacted on the speed and price at which the property sold because the viewing conditions resulted in a loss of momentum and buyers got tired of waiting.
Tenants will never be as concerned about the presentation of a property, and how it looks at inspections, as you will. From grime to clutter and smelly homes (note – never cook a curry before a home open!), we’ve seen it all. We even had a tenant who wouldn’t leave the house for home opens and sat on the couch eyeballing buyers. Suffice to say it was not a great look!
While many investors believe it will take a long time to sell a vacant property, and that it will be too difficult, we have experience to the contrary. Selling your investment property without a tenant has so many advantages.
Firstly, you can deal with any maintenance issues before going to market. Secondly, you can stage your property for sale which allows you to control how the home will look, feel and smell – all vital elements when selling a home. Lastly, you will be able to give your agent access to the home without worrying about imposing on your tenant.