Selling a House With Difficult Tenants
Missed rent, property damage or constant conflict can wear you down. You may be able to sell without first solving everything.
Document what is happening
- Keep the lease, payment records, notices and photos in one place.
- Put important communication in writing and stay professional.
- Follow your lease and local notice rules exactly.
Do not take shortcuts
Changing the locks, shutting off utilities or removing belongings can create legal problems for you, even when a tenant is in the wrong. Use the formal process, and talk with a landlord-tenant attorney before filing or serving notices.
Selling with the tenant in place
A lease generally continues after a sale, so a buyer needs to know the facts. Share the rent history, any deposit, and any eviction in progress. We can look at occupied properties, including those with ongoing disputes.
See also selling a rental with tenants.
This page is general information, not legal, tax or financial advice. Rules vary by state and city, so please check with a qualified professional about your situation.
Before You Sell: Protect Yourself as a Landlord
- Follow the lease and state law. Do not change locks, shut off utilities or remove belongings to force a tenant out. Those “self-help” steps are illegal in most states.
- Document everything. Keep copies of the lease, payment history, notices and photos of damage.
- Use proper notices. If you need to pursue eviction, use the notice and court process your state requires. A local attorney can help.
- Keep up with repairs you are required to make. Failing to maintain the property can hurt your position.
Selling With a Problem Tenant in Place
Many buyers will not take on a tenant who is behind on rent or damaging the property. We often will. We look at the lease, the rent history and the condition of the house, then make an offer that accounts for the situation, so you can step away without finishing an eviction yourself.
Will the tenant know I am selling?
Your lease and state law decide what notice and access are required. We can usually schedule one walkthrough with proper notice.
What about the security deposit?
Deposits typically transfer to the buyer at closing, and the title company accounts for them.
Done dealing with a difficult tenant? Get a cash offer and hand off the problem.