When a Tenant Expresses Interest In Buying . . .

It's all business. You can get their money and buy rental property elsewhere if you are interested. Some landlords however would rather not let go of their investment. It's an interesting situation though. Supposing a tenant offered to buy the house they rented, would you be willing to sell or would you hesitate?

 

I'd certainly give it some consideration. If it was a decent offer, I could stand to profit a lot faster then I'd originally planned so it could be worth thinking about.

 

Price price and price. It all depends on what the price is. If the tenant does not offer a reasonable price, then politely turn him down. If it is a good rental property probably in most cases you would be better off to turn the tenant down.

 

I am a bit skeptical about selling but of course if the price is right then you can do it and reinvest it somewhere else. Most people buy these properties for the rental income so you need to be sure that you can get at least similar income from other investments.

 

We can always make a deal if the price is right. Ultimately it's our call, if we have an offer and we are not that interested in selling we can always make the price go up and make it count.

 

In my case am on a weighing scale at the moment in this regard...with so many pros and cons and risks involved, am thinking this through...so for now i can't give a solid answer...am still..' to sell or not to sell?'

 

Ultimately I think that the decision could be decided by the amount of money we need at the time. If we do need the money immediately selling might be a good option, but if we don't we can negotiate further.

 

What are your plans for the cash if you do decide to sell? That is the thing that really matters since you want to have that money always working for you.

 

It all very much depends on the situation. I think when you have a tenant who has occupied the property for many years, they raise their family there and have settled their life in that property, you then consider they all that place home. There is something more that goes into the picture when you get to that point that drives you to want more than money but to offer stability. I would get a market evaluation for the home, discuss the possibility of rent to own with the tenant. It's important to go beyond just a quick income flip.