Pros and Cons of Selling an Occupied Rental Property
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Pros and Cons of Selling an Occupied Rental Property

The other day, I had an investor who was
going to be selling their house, asking me a question and I thought I’d share
that with all of you. And their question was: “What are the pros and cons of
selling a rental property with a resident in it, or selling vacant?” The cons
are fairly obvious…When you have an occupied property and you have a quick
possession and you might want to have another owner moving into it, or a
member of their immediate family, now you have a tenant inside the property
and now there’s certain rules and regulations that we have to cover with
the Residential Tenancies Branch. Another con: Showings. It’s quite often
you’re at the whim of the residents and their schedule. Yes, we have to give them
24 hours notice, but obviously it’s a lot easier to show a vacant property. However,
we feel that the pros outweigh the cons and here are the pros, mainly in three
categories. Number one: Rental Income. So, as an investor, you’re trying to sell
your property on the market, you’re not sure how it’s going to go. I’m an
investor – you might want to say, “let’s just give it a try.” Do you want the
property vacant for just trying something or do you want your rental
income at the same time? So that’s one reason for keeping the resident inside
the house. So, the second reason would be if the property doesn’t sell, you can
simply take it off the market and no harm, no foul, you now no longer have
to put it on the market, find a brand new resident, sign a brand new
lease and get used to that whole process . So, that’s number two. And number three is
something that most people don’t think about, which is actually staging. So, when
you think about a vacant property, vacant properties not going to show as well as
a furnished property, so most realtors might suggest a home staging company on
a vacant property. When you leave a resident in place and you’re showing the
property with them in it, you kind of are automatically having staging in place
without having to pay for it! So, those are three main reasons. Hopefully that
helps! if you have any other questions give us a call. Thanks for watching.

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