We recently had the privilege of managing the sale of two properties, A and B, both nestled in the same location and bearing striking similarities. However, the variation in their sales campaigns highlights the difference in how strategic decisions can affect the outcome.
Property A: A Transformative Journey
When the owners of Property A expressed their intention to sell, we embarked on a comprehensive evaluation of its condition. Despite having a renter and furnished lease, the property, dating back to its 2005 origins was in its original state. After careful consideration and consultation, the owner opted to vacate the property. This decision paved the way for a transformative process, including painting, new carpet installation, and strategic staging. The property was then listed on major real estate websites like Domain and REA.
The results were impressive - a successful campaign that culminated in a sale above the asking price within just two weeks of launching. The proactive approach to presentation and accessibility proved instrumental in attracting potential buyers.
Property B: Lessons Learned
On the flip side, Property B, also occupied by a renter, opted to proceed with the sale with the renter still in place. This decision, while financially practical, presents challenges. The renter, though tidy, had configured one bedroom as a home office. Prospective buyers struggled to envision it as a bedroom, often referring to it as a studio. This limitation, connected with access issues, and the actual tenancy length, impacted the property's market appeal.
After a period on the market with lukewarm interest, a decision was made to serve the renter a notice to vacate. Subsequent improvements, including painting and carpet replacement, were undertaken to enhance the property's overall presentation.
Navigating the Tenancy Dilemma
We acknowledge the financial implications of keeping a property empty and understand why some owners opt to sell with a renter in place. However, this decision can present challenges ranging from cleanliness and presentation to access issues. In certain cases, the tenancy agreement itself can shape the success or failure of a sales campaign.
Property owners must recognize the potential impact on the sales price, as a poorly presented property may signal desperation, attracting lower-than-desired offers. If you find yourself at the crossroads of deciding whether to sell with or without a renter, consider seeking advice from our team. Our insights will prove invaluable in tailoring a strategy that aligns with your specific circumstances, ensuring a successful and lucrative sale.
Written by Elli Blanco