Selling a house to a rental property company?
Recently inherited my mom’s house, and I’m thinking about selling the property to a small rental property company. I haven’t had a chance to get a quote from them yet, and I am going to get quotes from competing companies, but I was wondering if anyone had any idea what % of market value such companies usually pay?
Tags: mom, property company, quotes, rental property
June 29th, 2011 at 5:12 pm
John—not quite answering your question-sorry– but I think you need a good realtor to help you determine the true value of that property based on comps near-by….I hate to see you under value it….
June 29th, 2011 at 5:12 pm
When I checked into it a few years back most investment companies wanted to pay maybe about 70% mmarket value. I sold so I never pursued it to see how negotiable they may be. This was in Southern CA south Riverside County.
Why not rent ot yourself? If you don’t owe on it you can rent it below market. By doing this you will have allot of potential applicants and you can be VERY selective who you rent to. This is how I operate and have had very few problems.
June 29th, 2011 at 5:12 pm
A property rental company will not give you full market value for the house. If you want to sell it, why not sell it through an estate agent and get the market value in full or if you want to rent it out and get some income, you are best renting out via a reputable agency, who will charge a percentage of the monthly rent they charge.
June 29th, 2011 at 5:12 pm
Not much if they are buying and closing quick.
I strongly suggest you have 3 different real estate agent’s in that area give you a fair market value of the home and then knock 10% off that average and you’ll sell it almost as quick, if that’s your intention is to just get rid of it.
June 29th, 2011 at 5:12 pm
they will pay as little as they can get away with, that’s how they make their money.
June 29th, 2011 at 5:12 pm
You should also DEFINITELY talk to a local single-family-house property manager in your area to see what they think the house could rent for. Just so you know what your options are.
You can hire property management and never have to be personally involved ever. If the house is owned free and clear, all you have to pay is taxes, generally, and the renters pay everything else. Depending on the house and the rents in your area, you may be able to make a nice extra income from this house.
Don’t jump to sell it right away! What would you do with the cash?
June 29th, 2011 at 5:12 pm
Has the home been appraised? Get a good real estate agent to give you a apprasial to know the value of the home so you know what you have to work with. You usually get 70% of the value. Best Wishes and Our Condolances on the passing of your Mom.
June 29th, 2011 at 5:12 pm
what state is the house in ? i’m looking 2 buy ..