Finding Tenants Beforehand

5 Replies

Hello Everyone,

My question has to do with finding tenants before you close on a property. Do you advertise room(s) or home for rent before closing? Is that legal?

How do you go about reducing vacancy as much as possible when you are about to purchase a rental property?

Thank you for your time!

@Devante Boll - not sure off the legality of listing a place for rent before you own it. But I have started marketing a property the week of closing. Ads went up Monday saying showings will be on Saturday, and I had the closing schedule for Friday. 

Also when I do renovations, as soon as I can get quality pictures, I start to market the property so I am doing showings just as we are finishing. I found most people cannot imagine the finished project, so I don't show till we are about done. 

Not a lawyer, but I can’t imagine there’s anything illegal about marketing a rental before purchase. (As long as you aren’t signing leases or anything)

The seller could get peeved maybe, and a prospective tenant could bail if it’s more than a few days/week, but I can’t imagine any huge issues.

Originally posted by @Devante Boll :

Hello Everyone,

My question has to do with finding tenants before you close on a property. Do you advertise room(s) or home for rent before closing? Is that legal?

How do you go about reducing vacancy as much as possible when you are about to purchase a rental property?

Thank you for your time!

 You legally don’t own the place till you close. Did you buy the place as a owner occupied? Or investment property?  

@Rob D. I would be buying as an investment property!

I appreciate everyone's input. You all are great.

Originally posted by @Devante Boll :

@Rob D. I would be buying as an investment property!

I appreciate everyone's input. You all are great.

 I would put something like coming soon and a pic. This way you don’t run  into the legality issue of advertising a house you do not currently own. And as soon as you close finish the ad hit post button and go to town. This way it’s not really disclosing anything as to address or ownership. Simply starting to gather interest. Since you’re buying as a investment property the bank will be happy and I dont think the current owner will care as he’s already mentally moved and just waiting for his check to clear. I doubt you’ll get much flak from them. The issue may be if someone asks if you own it and you don’t and can’t eat them in to see the property. This way once you open it you can show it. Semantics but lots of people are wary of scams.

When I used to advertise a property I learned to show it once it was ready to show and what you see is what you get condition. Had too many calls where “hi in here at your property can I get someone to let me in” calls. So now I  show when it’s vacant and all the repairs/touch up is fine and it’s move in ready. 

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