A lot of landlords are talking about exiting the market, and whilst there are plenty of opportunities in a reshaped rental sector, it is also perfectly understandable.

The Renters Rights Bill is one of the most transformative changes in legislation in the sector, and whilst some landlords will benefit from it in the long term, the short-term costs might be enough to make others seriously consider their options.

The most drastic of these is to sell up, and a local estate agent will help every step of the way with this, to ensure that a landlord gets the most value from their house.

This leads to a dilemma, however, one which often splits opinions amongst landlords, letting agents and estate agents; is it better to sell a property completely unoccupied or with tenants already living there?

There is no universally right answer here, as there are benefits to both approaches.

Why An Empty Property Is Best

Selling an empty property is often seen as the ideal way to go as the pool of potential buyers is much bigger than it would be with an occupied property. Occupied properties essentially only sell to other landlords and property managers; empty properties sell to anyone.

Being on the open market can sometimes allow landlords to take advantage of surges in the market, which means that properties can sometimes sell for very different prices than they would if occupied.

This also makes it easier to stage the home, book visits and set up for a relatively quick sale through the conventional market. There are fewer concerns about inspections undermining the privacy of tenants as well.

It does still offer the option for buy-to-let as it has a proven recent history of occupancy, with fewer complexities than there would be with existing tenancy agreements in place.

Why A Full House Is Best

If you have a good tenant or set of tenants with a proven track record of paying on time and not causing too much trouble nor costing too much money in repairs, an occupied property is a very big selling point, as it equates to a guaranteed income that a new owner can make straight away.

A landlord also keeps making rental money up until the point the sale is completed, which avoids the potential drop-off point where a house is up for sale with no buyer and no revenue coming in.

Occupied properties often go to the right buyer who has a sound plan for what has proven to be a reliable source of income. It often leads to faster, more professional sales overall, with less risky ventures also leading to less risky buyers.

The overall sale process is also far quicker, as a landlord does not need the tenants to move out before they can start staging it for general sale. It also means that the house does not need to be renovated for sale at all, so long as it is in good general condition.

Whilst the prices are far less volatile with an occupied property than an empty one, on average they sell for more when occupied than unoccupied, although this can vary depending on area, condition, tenants and a range of other factors.