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Updated over 9 years ago,
Selling rental property while tenant occupied. Pros vs Cons?
I have 2 properties (single family homes) in San Bernardino County - Adelanto, California to be exact that I have now labeled my 'problem' properties. The original plan for these 2 properties purchased over 2 years ago was buy and hold but a string of multiple events with poor tenant selection/population has now forced me to consider selling. In brief, both properties have had tenants I have had to evict only to replace by tenants (current) who have stopped paying their rent and possibly need to be evicted as well.
The good news is that my local real estate agent believes I have built some good equity and after a sell, I will still be ahead. I've asked my property management company to place a 60 day notice to vacate for each property tenant. However, I really want to sell these properties ASAP some I'm wondering if I should ride out the 60 days until the properties are vacant then sell or should I put the properties on the market while the tenants are still in the property? Any advice or experience in this matter is much appreciated. Of course I realize the downside of trying to sell with tenant occupied is that they may hinder the selling opportunity but in the meantime who knows if the tenants will be out in 60 days or possibly more even requiring an eviction.
Regards,
Gus