Do you own an investment property in Long Island that you’d like to sell? When other people are living in your house, the selling process can become a bit more complicated. In our latest post, learn more about how to sell your house with tenants in Long Island!
As a landlord, there may come a day when you wish to sell your house. Even if you have tenants, it is your property and you may sell it if you wish. In some cases, you’ll be able to let your tenants know, and it won’t be an issue. However, you also don’t want to risk losing your tenants and being stuck with a vacant house while your house is on the market. That said, the tenants have rights, and you want to make sure you aren’t violating them. New York and Long island have some of the strongest laws in the county to protect the rights of tenants and you have to be careful not to violate them. Below, we discuss common things that arise when you decide to sell your house with tenants in Long Island.
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 the midst of 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. That usually means a “cash for keys” agreement of some sort. Some leases contain early-termination clauses that would allow you to end the lease early in certain situations. Remember, the tenant has rights too under the fair housing act, and if you violate those rights, you could find yourself penalized. Fines in Nassau and Suffolk county for violations can be in the thousands of dollars. Attempting to evict a tenant unlawfully can also result in you being arrested. It is imperative that you keep your cool, never act out of emotion and understand that the tenant holds most of the cards in the short term. In the long run, if you act responsibly and legally and follow the processes through the court system, you will be able to get the tenant out.
If You Have Difficult Tenants
If your tenant has violated their lease, you should be able to evict them without an issue. That said, if your tenant is refusing to leave, the eviction process in Long Island can become long and arduous. Most landlords try to avoid dealing with evictions at all costs. By selling your house with tenants directly, you’ll be able to avoid the eviction process yourself and be able to move on from the property with cash in hand. Many direct buyers will simply take over the lease and business will go on as usual. If the tenants are in violation of the lease, the buyer will go through the eviction process as necessary. Plus, a direct sale will help you avoid having to list, market, and show the property, things would likely cause even more tension between you and your difficult tenants. In most cases tenants will refuse to let a perspective buyer even look at the interior of the house.
There are many reasons why a direct sale is beneficial for people who need to sell their house with tenants in Long Island. Some investors are happy to take over a property that already has a tenant in place, especially when they are in good standing. It saves them time and money advertising, marketing, and showing the property. They won’t have to bother screening tenants or running the background checks because those things have already been done. Other investors will shy away from properties that have tenants that they did not screen. Even if there is a difficult tenant living in the home, an experienced investor won’t be as upset pursuing the eviction process if the tenant is in violation. They have likely had to do it before, and won’t be bothered by the process. Its a waiting game and you have to have the stomach to let the process run it’s course.
If you want to sell a house with tenants in Long Island, 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. If you have no choice and have to evict a tenant, make sure that you hire an experienced attorney who know the process. If you just want to move on and don’t want to deal with getting tenants out, and just want to sell your house with tenants, then give us a call at 516-704-7025 and speak with Joe about your options.