When it comes to selling a multi-family property in Houston and its neighboring areas, the process is more complicated compared to selling a private home. This is because the transaction involves several parties, particularly, the number of units the property has. As such, it is crucial for sellers to take a thoughtful and thorough approach to the process to ensure that they comply with all the relevant legal requirements and regulations governing the sale of multi-family properties.
In this article, we will provide you with five essential tips for selling your multi-family property in Houston and surrounding areas. By following these tips, you can avoid the pitfalls that come with selling such properties and ensure that your transaction is smooth and successful.
Check the Lease
Selling a multi-family property in Houston & All of Texas requires careful consideration of your tenants’ rights, making it essential to review all your leases thoroughly. Before listing your property, it’s important to open all the leases and ensure that you’re considering every aspect of your tenants’ rights, including their lease terms and obligations. This will help you avoid any potential legal disputes that could arise during the sales process.
In addition to reviewing your leases, you should also ensure that all of your tenant files are organized and up-to-date. Potential buyers will request access to these files, so it’s crucial to have everything in order. By having well-maintained and organized tenant files, you can show buyers that you’re a responsible landlord who cares about their tenants’ welfare. This can help build trust and confidence in the buyer, increasing the chances of a successful sale.
Furthermore, keep in mind that some buyers may be interested in occupying one of the units themselves. If your leases are all solid and don’t allow for owner-occupancy, these buyers may move on to another property. Therefore, it’s important to ensure that your leases are flexible and accommodate different scenarios, including owner-occupancy.
Prepping
To compete on the market when you’re selling your multi-family property in Houston & All of Texas, you must present the property in the best light possible. Take a snapshot of the property. Looking at the photo may help you focus on the curb appeal or lack thereof that a buyer would note as they scroll through listings. You’ll want to trim lawn and shrubbery, paint the building more appealing, and be sure any signage is attractive and the parking lot, amenities, or equipment is well maintained. Pay attention to door locks as well. Fumbling with a key won’t make a good impression.
Documents
When selling your multi-family property in Houston & All of Texas, it’s crucial to ensure that all your documents are ready for review and in good order. Failing to do so may turn off potential buyers and even result in lost opportunities. To avoid this, make sure your bookkeeping records are up to date and provide a yearly net operating expense report that outlines all costs associated with the property, as well as the income generated from rentals. This report is essential as it provides buyers with the ability to compare your property with others in the market quickly. To further entice potential buyers, provide any paperwork that reveals regular maintenance, repairs, and any warranties that may still be valid, as these hold significant value. Additionally, including documents that show the age of the roof, the major systems such as heat or air, and the appliances in the units is crucial. All of these documents combined will help potential buyers make informed decisions, and it will be easier for them to determine whether the property is worth delving further into the transaction. Therefore, it’s essential to have all these documents in order and ready for review to ensure a smooth and successful selling process.
Inspections
It is wise to have an inspection completed before selling your multi-family property in Houston & All of Texas. Finding surprise problems ahead of selling is best. Knowing the issues that exist will allow you to decide how best to resolve them before entering into negotiations. Should the buyer remain at the negotiating table upon reviewing the inspection, now considering your property as a fixer-upper, they will likely make an insultingly low offer. It is more likely your buyer isn’t interested in rehabbing a multi-family property and will walk away if their inspection should reveal a problem that the seller didn’t bring to their attention previously.
Direct Sale
Sell directly to Houston Area Home Cash Buyers – we buy whether or not you have tenants! At Houston Area Home Cash Buyers, we purchase properties as-is for cash, so closing is fast. There’s no need to worry about sprucing the place up, or completing repairs, or paying holding costs while the property lingers on the market. The professional buyers at Houston Area Home Cash Buyers will go over the numbers with you, making sure you agree that our offer is fair. We will also present to you what you would realize if you were to list your property on the MLS so that you can compare all options. Working with Houston Area Home Cash Buyers makes selling your multi-family property in Houston & All of Texas easy! Call Houston Area Home Cash Buyers at (281) 645-9597 or send us a message today.