Are you looking to sell your multi-family property in Arizona? Perhaps you’re wondering about the best time to sell it. As compared to homes, selling multi-family properties are more complex as you have to consider there are likely tenants involved. It also means that there are several things you need to put into consideration before you can decide to sell the property.
Although there are many factors, timing is everything when selling any property. Whatever your reasons for selling your multi-family property, keep reading to discover the best time to sell your unit, key requirements, and how you can maximize returns on your investment.
1. Market Timing
As mentioned earlier, timing is fundamental to selling any real estate property. You must know where in the real estate cycle you are in and ensure your property is cash flowing to obtain the highest price.
One significant indicator is when the market shifts in favor of the sellers more than buyers. If sellers begin to sell more, it might be a pretty good opportunity to put your multi-family property on sale. However, it is also imperative to note that there might be a considerable divergence between the replacement property cost and the existing property.
2. Have All the Documents Ready
If you own a multi-family unit in Arizona, it is likely you purchased it as an investment. Therefore, being prepared with the necessary documentation is critical. What’s more? Ensure your property is in top-notch condition. If there are repairs that need to be addressed, if you are able to, do complete them before putting it on the market so that you make an excellent first impression.
When it’s time to sell your property, gather all the necessary due diligence materials, including a current rent roll, lease agreements, financial details and any other relevant documents and information that might contain pertinent information.
3. Pricing Is Critical
How much are you selling your multi-family property for? Is the price too high or too low? Conducting a thorough sale analysis will ensure you are pricing your property right. By research the sub market, including its cap rates, rental rates and the recent sales activity, you should be able to know where your property stands.
If you price your property too high, it might take longer to sell. The longer it takes to sell, the less attractive it will be to your potential customers. Alternatively, you can incorporate the services of a professional multi-family broker to help you settle on a reasonable price.
4. Familiarize Yourself with the Rules of Selling Your Property
Of course, upon going through all the above steps, the last thing you would wish for is a setback. It might be not only costly but also time-consuming. Ensure you are aware of the rules and regulations before putting your property on sale. You can also hire a real estate agent that specializes in multi-family for a smooth and quick sale. That way, you can also avoid other setbacks associated with property selling.
Besides, a multi-family real estate agent can also act as a professional liaison between you and the buyer. He or she should be capable of coming up with a strategy that will get you the highest price for your property. Preferably, you should hire a professional real estate agent or broker who is familiar with the local real estate market and has experience working with multi-family sellers.
The Best Time to Sell Your Property
So, when is the best time to sell your multi-family property in Arizona? Although most sellers consider the time of the year, but the best time depends more on research and proper planning than just the month of the year. Take this into consideration and there is no doubt you will successfully sell your property and maximize your returns.
Do you plan to sell your unit? Contact us for a free consultation and let us ensure you get the right buyer in the shortest time possible.