Raising Rent Before Sale? Good or Bad? - Posted by Alf

Posted by Ronald * Starr(in No CA) on September 02, 2003 at 22:58:10:


Gee, after all that work and you’re going to let somebody else enjoy the fruits of your labor, huh?

Well, you don’t really give the needed information to make a solid recommendation. But, if you can raise the rents to a typical market rate in the area, the odds are abut 93% that the renters will not move.

Even if one were to move, a lot of duplex buyers are owner-occupants, so having a vacancy is good–the buyer can move in as soon as the property has changed hands.

Don’t worry about the renters being uncooperative.

The higher rent suggests a higher selling price. So do it, as long as it is within market rents. In fact, if possible raise it even more, if it will keep you within market rent range, even if a little high of average.

Good InvestingRon Starr****

Raising Rent Before Sale? Good or Bad? - Posted by Alf

Posted by Alf on September 02, 2003 at 20:17:33:

I have had a duplex for about a year now and have put many improvements into the property. Enough where I was planning on raising the rents about $50/Month per unit (Month to Month Leases) to take care of these improvement costs and the always increasing property taxes.
After further thought, I now plan on selling the duplex. Now, do I raise the rent to make it look more appealing to a future buyer, and risk that the tenants may get upset about the raise in rent and quick sale after, that they make the selling experience miserable(showings)? Or, just tell the new buyer that rent is ready to be raised, and let them raise it to what they want?? What would or have you done?

Please give me your input via. email if you would. Thanks much for the help.