Selling a house an eviction alternative?
Wondering if I sell a house with a renter that's not paying rent, will the new owner be able to get them out without an eviction?
Same question for a lease option...
Thanks!
I like the thought but no this will not work. When someone buys the house the lease transfers to the new owner. They will need to go to court just like you would and will most likely demand either an empty house before closing or concessions on your end price wise to make it worth their headache.
Hi @Lydia Mary
If you sell the house the tenant would still be under the existing lease (Paid or not). If you disclose and the seller is OK taking it on, then sure. They are basically taking on the responsibility for that. Many investors won't have a problem taking on that issue (They will hit you in the pocketbook on sale though). I have purchased "non performing tenants" myself and been on both sides for clients. It is the same thing as taking on a bank foreclosure. The owner still lives there and the new lien holder has to evict to take control of the property. Someone will buy it, but it will not be a retail price sale.
Lease options are not my specialty so I will leave that question for someone else.
Good Luck and happy investing!
@Lydia Mary Not sure if this varies from state to state, but it doesn't work like that here. I would definitely check your state and local laws for that. A good real estate attorney in your area should be able to answer that for you. Good luck!
I just reread and I would like to clarify. I do not know of anywhere where a new owner would not have to evict. Will they? Yes they may very well do that.
Thank you @Robin Krieb for making me go back through!