Thursday, December 2, 2010

Preparing to Sell Your Rental Property

Selling a rental property can be a time consuming and labor intensive experience. One of the first decisions you will have to make is whether it is in your best interest to try selling the property yourself or work with a real estate agent. If you own a multi-family home, you already likely know what a headache coordinating one plumbing appointment can be. Think amount having to organize 50 showings with 4 tenants. Yikes. If your property is a single family home or a duplex, the time requirement will obviously be less of a deterrent. Sure, a real estate agent's commission may eat away at the equity you have built in your home but it still might be worth while.

Once you have decided whether to go the fsbo route or list with an agent, it's time to do a little window dressing. You only have one shot to make a first impression. Make sure that the photos you or your agent take of the property look awesome. There is nothing dumber than posting terrible photos of your home in the MLS. If necessary, pay a couple of hundred bucks to have a professional photographer take photos.

You will also want to get out the rake and your paint brush and start cleaning up the yard and painting the trim along the front of the home. Also, hit your local garden center for a few bags of mulch and some fresh flowers. This may end of being the best hundred dollars you spend.

If there are tenants in the home, you may be limited on the amount of work that can be done inside the property. You still may be able to work on common areas of the home such as the entrance way which the buyers will walk through multiple times during a showing.

If the home has a security system, you'll want to speak with a professional to ensure that it is in working order. You can search for a local ADT security professional online. If the current system is out-of-date you may need to upgrade or make adjustments to your asking price accordingly.

With the current real estate market in many parts of the country still reeling, more and more sellers are turning to home stagers to make their properties stand apart from the competition. Many of these professionals can work with the furniture you already have. They may be able to help you give the property a face lift simply by rearranging the items in your home.

Best of luck selling your property and feel free to post your tips in the comments section.
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