Advice for Selling your Irish Investment Property 2023

As a landlord, when you decide to sell a rental property, there are several important factors that must be considered. They will dictate the process of the sale and ultimately the financial gain to you as the landlord seller.

Time to Cash in and put Your Irish Investment Property for Sale?

In this guide, we will take a closer look at each of the main considerations so that you can get the best return when it comes to selling your investment property in Ireland. This guide can also help you to avoid conflict that could either make a sale very difficult or even scuttle one altogether.

Selling an Investment Property with Tenants or Without?

Will you be offering the property for sale with vacant possession (nobody living there) or with tenants in occupation (someone living there)

If your property is vacant, then it has a much higher chance of being sold to any sort of buyer – investor or owner occupier. On the other hand, if you have a tenant living there, then the sale will usually be restricted to investors only.

Irish Tenancy beginning before June 2022

Should you have a tenancy in place that began before June 2022, as a landlord you have the option to give notice to terminate the tenancy and sell with vacant possession. It’s really important to recognise the tenant’s entitlements regarding the length of notice, refund of the deposit, and access for viewings and inspections. There are clear rules concerning termination of tenancy and these are available on the www.rtb.ie website.

In the case of selling your investment property with a tenant in occupancy, the details concerning the tenancy, deposit, and rental history will be needed by the selling agent. Make sure to get these details to your agent as early as possible as a way of spotting any issues that might interrupt your plans. Clear and open communication is going to be critical where a tenant remains within your property.

Dealing with your Mortgage as a Landlord Seller

Where there is an existing mortgage on your investment, then you as a landlord should request the Property Deeds from the bank or building society, through your solicitor, again as early as possible in the process.

We recommend that this be done as soon as a landlord decides to sell. This significantly reduces the overall time between putting your property on the market and closing a sale for you.

Taxation issues when Selling an Investment Property in Ireland

If your property is currently worth more than the purchase price, you will be subject to Capital Gains Tax, after the cost of sale and some other specific costs that are allowable e.g., capital expenditure.

Planning Compliance and your Investment Property Sale

Has your property been extended or has the use been changed? Then we recommend you get a compliance cert at the outset, as this will be requested by the purchaser’s solicitor.

Paperwork is obviously important during the process of selling your investment property in Ireland. By having a complete history of the property ready and with your solicitor, you can avoid unnecessary delays to completing a successful sale.

MUDs

Own an investment property as part of an apartment development? Then check that your annual charges are paid up to date and that the Owner Management Co is compliant. Talk with the company and make sure its annual returns are also up to date.

BER Certificates when Selling Property in Ireland

All property offered for sale in Ireland or for rent must have a valid BER Certificate. Ask your agent for details of local BER assessors. (If you need a BER Cert in Louth then Click Here)

Improvements are investments to getting a better deal

An ex-rental property that is being sold with vacant possession often warrants some level of maintenance or content clearance before putting it on the market. Again, ask your agent for advice and, if appropriate, consider home staging or repainting to maximise the property’s performance on the market.   If you are selling the property with the tenant in occupation, it is worth checking whether repairs and safety checks are up to date. Otherwise, a sale could fall through if the property is found to require significant work to bring it up to standards.

As a very minimum check for the following:

• Is the boiler due for a service?
• Are the smoke and carbon monoxide alarms working?
• Is there a fire blanket and extinguisher?
• Are there appropriate safety catches on the windows?

Put yourself in the shoes of a prospective investor considering buying your property:

• Would you accept what you see at the property for the price being asked? Does the property need renovation or repair?
• Is the tenant amenable and interested to meet the buyer?
• Are the rent payments up to date? How close is the current rent to the market value? When was the rent last reviewed?
• Who owns the contents of the property? The landlord or the tenant?
• If you own an apartment, are the common areas well maintained and clear of items? Are the rubbish collection arrangements in order?

Ask yourself these questions. They can help you to focus on the steps you might need to take to help sell the property efficiently and at top market price.

In Conclusion

Whatever the Circumstances of your Investment Property in Ireland, the two most important messages are:

• By becoming a well-prepared seller, you will ensure a smoother sale and a better sale price
• Clear communication with your tenant is crucial.

Need more advice when it comes to selling your investment property in Louth, then let the team in Michael Lavelle Estate Agents know. Our property experts are on hand to guide you through the process and find a buyer for your property when it comes time to sell.

For more simply call (042) 933 2482 or leave your details below so a team member can contact you. Alternatively, click to grab your Free Property Valuation Here to get your property sales process underway from today.