Selling a Rental Property: What You Need to Know

Selling a rental property is a little different from selling your own home. Not only do you need to consider the financial side of the sale, but you also need to think about your tenants and the legal requirements that apply when selling with someone living in the property. Here are the key things to keep in mind:

1. Understand Your Rights and Responsibilities

When you decide to sell, it’s important to know where you stand legally. As the landlord, you have the right to sell your property whenever you choose—but tenants also have rights. In Queensland, tenants must be given the proper notice before inspections and open homes. If the lease is fixed, they also have the right to remain until the lease ends unless both parties agree otherwise.

2. Fixed-Term vs Periodic Tenancy

Fixed-Term Lease: The tenant has the right to stay until the lease expires. You can sell during this time, but the buyer must honour the lease.
Periodic Lease: With the correct notice, you can ask the tenant to vacate. This gives you more flexibility if you want to market the property as vacant.

3. Decide Whether to Sell Tenanted or Vacant

Each option has advantages:

• Selling Tenanted: Investors often like the idea of a ready-made rental income and reliable tenant. This can make your property more attractive to other landlords.
• Selling Vacant: Vacant homes allow buyers to move in straight away and can sometimes appeal more to owner-occupiers, often broadening the market.

4. Keep Tenants in the Loop

Good communication is essential. Happy tenants are more likely to keep the property tidy for inspections and cooperate with your agent. Being respectful and giving notice will make the process smoother for everyone.

5. Presenting the Property for Sale

Presentation is just as important for rentals as it is for family homes. Consider a quick spruce-up before hitting the market - fresh paint, garden tidy-ups, and professional cleaning can add value and attract more buyers.

6. Work with an Experienced Agent

Selling a rental property can be a balancing act between securing the best price, respecting tenants, and navigating the legal obligations. An experienced local agent can guide you through the process, market the property effectively, and negotiate with all parties involved.
Final Word

Selling a rental property doesn’t need to be complicated. With the right strategy and clear communication, you can achieve a smooth sale while looking after your tenants’ rights and maximising your return.

Thinking of selling your investment?


Contact the Simon Salm Team today for expert advice tailored to your property and situation