How to Handle a Property with Tenants When Selling to a Cash Buyer

Pezon Properties • June 2, 2023

Selling a rental property that is currently occupied can prove to be a source of stress both for the landlord and the tenants. However, there are instances where such a step becomes unavoidable, such as relocating to a new area or deciding to step away from the role of a landlord.


Once the decision to consider the option of selling the property quickly in Wilkes-Barre has been made, one crucial aspect is to communicate this intent to the tenants in advance, as per the terms of the lease agreement. By doing so, you not only manage the situation with less stress but also allow the tenants ample time to strategize their next steps.


In light of this, here are some valuable tips on effectively managing a property with tenants when in the process of selling to a cash buyer.

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Nullify Fixed-Term Leases

Nullifying fixed-term leases presents a significant consideration for landlords or home sellers navigating the intricacies of selling a property occupied by tenants. The challenge lies in orchestrating the departure of tenants while adhering to existing lease agreements. Should the decision to proceed with selling to a cash buyer be made, options must be weighed. One approach involves structuring purchase offers contingent upon the property's vacancy upon closing, placing the responsibility on the seller to address the active lease. Alternatively, the buyer could assume ownership and subsequently navigate the lease arrangement, be it through termination, renegotiation, or tenant incentivization. It remains crucial to recognize that attempting to modify lease terms or enforce eviction under these circumstances may entail legal consequences. Therefore, a comprehensive understanding of lease agreements and tenant rights is essential for a smooth transition during the property sale process. (1)

Remove Month-to-Month Tenants

Some tenants have a short-term lease with the landlord. So, if you have tenants who pay monthly leases, you can terminate the contract – no cause of termination. However, you need to notify these tenants at least 30 days before terminating the lease contract. In Pennsylvania, if you are considering to sell my house fast scranton option with no cause contract, you need to give your tenants a 15-day notice. Then, the tenant can move out willingly by the end of the month.


Following the legal process when removing tenants is crucial to avoid legal trouble. Therefore, consider giving the notice on time if you need to sell your property fast. Delays when issuing a notice could lead to delays in selling the property, and you could lose a potential buyer.

Check if the Tenant is Caught Up with the Rent

If your tenant has fallen behind on rent payments, you might find a strategic advantage in this scenario when it comes to selling the property. You have the option to offer leniency, capitalizing on the outstanding rent, and then request the tenant to vacate the premises.



However, for landlords with a more forgiving disposition, there could be situations where one or more tenants have accumulated several months' worth of unpaid rent. Proceeding to sell the property under such circumstances might result in financial setbacks. In instances where the tenant(s) owe a substantial sum, taking legal action could be a consideration. This course of action ensures that payment will be enforced within a stipulated timeframe, as determined by the court, even subsequent to the property's sale to a cash buyer.

Show the Occupied Unit

After negotiating the selling deal with the cash buyer, you need to show the property. However, it can be challenging to clean and show it if the tenants are still active. On the other hand, some tenants are understanding and can help you clean the property for showing. If you have stubborn tenants, you need to give a 24-hour notice before showing your property to a cash buyer. To be considerate, you can gift your tenants prices to appreciate their understanding nature as you sell your property.


Though most cash buyers purchase your property as-is, a clean property can catch the eye of many cash buyers and increase its value. So, after the tenants walk out of the property, consider hiring professional cleaners to improve your property. This includes wall washing, decluttering, trimming trees, and mowing the lawn. Also, they can fix and repair minor damages to increase the property value before showing.

Communicate after the Sale

If the tenants are willing to stay and have a new landlord, you need to communicate to ensure a smooth sale. After sealing the sale deal, consider taking the cash buyer to the property and introducing them to the tenants. This is effective because the tenants and the landlord can work on their relationship.


The advantage of communicating with the tenants after a property sale is that you have peace of mind about your next move. Again, the renter also has peace of mind because you helped to create a bond between them and the tenants.

Finalize the Details

The process of selling a property with tenants can be complicated for the landlord and tenants. However, if you follow these guidelines, it can be easier for you and the tenants. You can move on to the next step after introducing the new buyer to the tenants.

Final Thoughts

It can be complicated to sell your property with active tenants. The above guide helps you handle the property well and follow the legal procedures. You can consider waiting if you have time, buying out tenants, or evicting tenants who have violated the lease terms. Ensure the property is clean and tidy before showing it to the cash buyer to increase its value. This way, you can sell the property quickly and purchase your next one for a better investment.

Give us a call anytime at 484-484-0971 or fill out this quick form to get started today!

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Mathew Pezon, co-owner of Pezon Properties

About the author

Mathew Pezon

Mathew Pezon is the founder and CEO of Pezon Properties, a cash home buying company located in Lehigh Valley, Pennsylvania. With several years of experience in the real estate industry, Mathew has become a specialist in helping homeowners sell their properties quickly and efficiently. He takes pride in providing a hassle-free, transparent, and fair home buying experience to his clients. Mathew is also an active member of his local community and is passionate about giving back. Through his company, he has contributed to various charities and causes.

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