sell

How to Sell a Tenant-Occupied Rental Property Listing - Kevin Ward @ YesMasters.com

hey there it's Kevin ward with yes

masters real estate success training

helping you get more yeses and more

successes in your business and in your

life and I got an awesome question from

one of my coaching members in fact this

is a question that I I get occasionally

and it is a one of those difficult

situations when you have a listing and

that is when it is tenant occupied how

do you sell a tenant occupied listing

when the tenant doesn't want to

cooperate in showing the property or how

do you get the tenant to cooperate in

showing the property and so I wanted to

just do a quick video on how do you get

a tenant to cooperate in selling a

property when it comes to showing got to

keep the house clean they need to not

interrupt or interfere with showing you

the property and not have this you know

today or 3-day notice required anytime

you have that you're going to lose

buyers and so the best way to deal with

that is up front you got to deal with

this before the situation start so I

just made some notes here on how do you

deal with a tenant occupied property

when it's your listing so number one is

with the seller make sure that the lease

make sure you know what the lease says

about the tenants requirements in terms

of cooperating in the sell of the

property and what kind of notices does

the does the seller have to give to the

landlord have to give to the tenant and

so forth find out and make sure you know

this your state's laws on how many if

you got to give notice notice to vacate

if the lease is month a month how much

notice just is required for the landlord

to give the tenant before they move out

so that when it goes into Condor

contract if they're closing escrow in 45

days is a 45 day notice sufficient in

some states it's a 30 day notice in some

states it's a 60 day notice after a year

and so forth so you just have to be

aware of the laws so that you're

protecting your seller and so that you

don't give the tenant any reason to pick

a fight number two is the best way to

get a tenant to cooperate is to

incentivize them so

do you incentivize them well best thing

I have found is to have the seller at

closing it's very important at closing

give the tenant a half months rent

credit now they can do a half month they

can do a full month if the property's on

the market for more than a couple of

months they may give you know full

month's rent but ideally if you know

what you're doing and you get a property

sold in thirty thirty days or less or

even 60 days at closing the tenant if

they cooperate and they don't interfere

with showings and the house is kept

clean and easy to show and so forth then

at closing the seller actually writes a

check to the tenant for half a month's

rent basically a rebate they give it

back now the big mistake is is what some

sellers do is they give a discount to

the tenant says ok I'm going to put the

house on the market and if you'll

cooperate I'll let you pay 50% I'll give

you a 50% discount on your rent every

month well now all that's going to

happen is the tenants going to be paying

you less money and they still may or may

not cooperate so it doesn't give you the

leverage they still have to pay their

rent full rent and then at closing when

the property closes or if they're if

they're moving out when they move out

the seller will give them back a half

months rent assuming they have

cooperated with every showing they have

not they have not caught a basically

refused any showing they have cooperated

in terms of the showing times typically

a two to four hour notice should be

plenty they want you want them to have

the same showing requirements that you

would want to seller to have you don't

want to miss a buyer because you got to

have a 24-hour notice now if this is a

you know if it's a mansion it may be a

little different but if it's a regular

bread-and-butter

residential property then they keep the

house clean

a two-hour notice should be plenty for

everyone the 24-hour notice you're going

to lose some buyers a 48-hour notice

you're going to really interfere with

buyers seeing the property and an

agent's being able to show the property

okay so that's that's the set up and if

you get once you get the seller to agree

to that now the key is you meet with the

tenant you've got to sit down with the

tenant and you've got to create an ally

alliance with

the tenant it's got to be collaborative

if the tenant is your enemy if you make

the tenant an adversary you treat it

like you got to do what we say or else

because the lease requires it then

you're going to get all kinds of

resistance they're not going to

cooperate and it's going to be bad so

you want to meet with them and you treat

them with every bit as much respect as

if they were the homeowner and you let

them know look I know this is a major

inconvenience for you and I'm so sorry

to have to ask you to do this though

but basically you know the sellers the

ten and by the way the landlord should

notify this tenant that they're selling

but you meet and and you become

basically the intermediary between the

landlord and the tenant say look my job

is to help make this as smooth and easy

for the landlord and for you as possible

so tell me how we can do two what we can

do to make this easier for you and then

you lay out for him here's what we need

and here's what we need we need the

property to be able to be clean

virtually all the time okay needs to

stay clean so that we can show it with a

two hour notice during regular business

hours between nine let's say between

9:00 a.m. and 6:00 p.m. or 9:00 a.m. and

sundown or whatever and then they need

to keep the property clean at all times

and make sure that they don't refuse any

clones yes any showings yes it's going

to be inconvenient and here's what this

tenant of the landlord is willing to do

at closing they will reimburse you a

rebate you half of your last month's

rent so if you're paying they're paying

you know $2,000 a month they're going to

write you a check for $1,000 just for

the for the inconvenience just for the

cooperation and then the last thing is

is with that as you're doing that with

the tenants offer a look anything I can

do to help you guys you need to you know

finding your next home making plans

anything I can do to make your life

easier please contact me I'll be happy

to help you guys and get you hooked up

and set up and so forth the main thing

is is that you will that you respect

them and treat them as important as a

seller paint a rosy picture this is

going to go fast and if you guys you

know if we can make everything go

smoothly and we get the showings without

any difficulties and so for

then we get more buyers in here faster a

little bit of an inconvenience but we

get the best offers we get the property

sold fast so you're not being

inconvenienced for month after month

after month with all if everything goes

well this should happen in less than a

month and you're done

and if you price the property right and

it looks great and the tenants cooperate

it should be sold in most markets it

should sell in less than a month so

that's what you do if this video helps

you if you like it click the thumbs up

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questions we'll talk soon