If you’re a landlord thinking about selling your buy-to-let property, you’re not alone. With rising interest rates, increasing regulations, and changes in the rental market, many landlords are considering their next move. But when it comes to selling, there’s more than one way to go about it. Should you sell with tenants in place, evict them first, refurbish, or wait until they leave naturally? Each approach has its pros and cons in terms of price, timeline, and ease of sale.
In this article, we’ll explore the key options available to landlords looking to sell their rental properties and what you need to consider before making a decision.
Option 1: Selling with Sitting Tenants
One of the most straightforward options is to sell the property with tenants still living in it. This is often referred to as selling with a “sitting tenant” and can be appealing to other landlords or investors who want a ready-made rental income.
Pros:
✔ Immediate rental income for buyers – Investors looking for rental properties may prefer a tenanted property, as it provides an income from day one.
✔ No void periods – The property remains occupied, meaning there are no gaps in rental payments.
✔ Minimal disruption to tenants – Tenants don’t have to move out, which can help maintain a smooth relationship.
Cons:
✘ Reduced buyer pool – Selling with tenants limits your market to landlords rather than owner-occupiers, potentially affecting price and demand.
✘ Potential viewing difficulties – Tenants may not cooperate with viewings or keep the property in the best condition for marketing.
✘ Buyer’s financing challenges – Some mortgage lenders have restrictions on properties with sitting tenants, which could limit buyer options.
Best for:
Landlords who want a hassle-free sale and are happy to sell to another landlord.
Properties where tenants are on a long-term lease and paying market rent.
Option 2: Evicting and Selling Vacant
Another approach is to issue notice to your tenants and sell the property once they have vacated. This opens the market to both investors and owner-occupiers, which can increase demand.
Pros:
✔ Larger buyer pool – A vacant property appeals to both investors and homeowners, potentially increasing your selling price.
✔ Easier property viewings – No need to coordinate with tenants, making it simpler to keep the property presentable.
✔ Faster sale potential – Without tenants, buyers can move in or start renovations immediately.
Cons:
✘ Void period and loss of rental income – You’ll have no rental income while the property is on the market.
✘ Legal process for eviction – If tenants do not leave voluntarily, you may need to follow legal eviction procedures, which can be time-consuming and costly.
✘ Potential property condition issues – Some tenants may leave the property in poor condition, requiring additional work before selling.
Best for:
Landlords aiming to achieve the highest sale price.
Properties in high demand by owner-occupiers.
Landlords who can afford to wait while the property is empty.
Option 3: Refurbishing Before Sale
If your rental property is dated or in need of repairs, refurbishing before selling could help maximise its value. This could be as simple as redecorating or involve larger renovations.
Pros:
✔ Higher selling price – A well-presented property can attract more buyers and increase competition.
✔ Wider appeal – Modernised properties appeal to both landlords and homeowners.
✔ Faster sale – Properties in move-in-ready condition often sell quicker.
Cons:
✘ Upfront costs – Refurbishments require investment, and there’s no guarantee of full return on that investment.
✘ Time-consuming – Renovations take time, delaying the sale process.
✘ Uncertain market conditions – Property prices can fluctuate, and a downturn could impact your return.
Best for:
Properties that need cosmetic improvements to achieve a better sale price.
Landlords who can invest time and money into upgrades before selling.
Option 4: Waiting for Tenants to Leave Naturally
If your tenants are already nearing the end of their lease or considering moving out, waiting for them to vacate on their own can be an easier approach.
Pros:
✔ No need for formal eviction – This avoids legal costs and potential disputes.
✔ Less stress for the tenants – A cooperative move-out process is smoother for all parties.
✔ More flexibility in marketing – Once tenants leave, you can decide whether to refurbish, stage the property, or list it as-is.
Cons:
✘ Uncertain timeline – You’re relying on the tenants’ plans, which may not align with your preferred selling schedule.
✘ Risk of losing motivated buyers – If the market is strong now but weaker in the future, you may miss out on good offers.
✘ Loss of control – You are dependent on the tenant’s decisions rather than being able to set a definite timeline.
Best for:
Landlords who are not in a rush to sell.
Properties where tenants are already considering leaving.
So, What’s the Best Option for You?
The best approach depends on your circumstances, financial goals, and the current property market. If you need to sell quickly and without hassle, selling with a tenant in place could be the way to go. If you’re looking for the highest price, it may be worth evicting tenants and presenting the property in its best condition.
Key Questions to Ask Yourself:
Do I need to sell quickly, or can I wait?
Am I willing to invest in refurbishments?
Will selling with tenants make financial sense?
What type of buyer is most likely to purchase my property?
No matter which option you choose, getting the right estate agent to market your property effectively is crucial. A specialist with experience in buy-to-let sales can help you navigate the process, attract the right buyers, and achieve the best outcome.
If you’re thinking of selling your rental property and need expert advice, get in touch today for a no-obligation chat about your options.
BE Listed. BE Sold. BE Let. BE Managed
Office: 4 Townhead, Irvine, KA12 0BE
Brian in Sales: 01292 432364 | sales@belisted.co.uk
Erin in Lettings: 07535 780773 | lettings@belisted.co.uk
🌐belisted.co.uk | facebook.com/BrianMcLemonPropertyExpert/
BE Listed 
Leave a comment