How To Sell A Property Portfolio Quickly & Easily

How Landlords Can Sell A BTL Rental Portfolio Quickly & Easily

It’s not uncommon for landlords to either cash out, downscale and/or liquidate their assets for one reason or another, by bulk selling their rental property portfolio i.e. selling multiple properties in one hit.

For obvious reasons, selling a portfolio of properties in bulk – tenanted or otherwise – is easier said than done. The obvious obstacle and question being, what to do with the tenants? Can I just get rid of them?

Essentially, you have two options:

  • Sell with the tenancy
  • Complete sale after possession (i.e. eviction)

But I cover all that in my Landlord Guide On Selling A Property With Tenants. Of course, that’s just one glaring issue, the other being finding a buyer for each and every property. Sounds painful. It can be, and it usually is.

In this blog post, I’m quickly going to go over one option which, granted, isn’t the prettiest, but it sure as hell is effective when it comes to selling property portfolios, and may even be the solution you’ve been searching for.

So, just to cover the most obvious options first:

  1. High-street estate agents – using local agents to manage the liquidation of your portfolio. Needless to say, this is unlikely to result in the quickest or cleanest solution, especially if your portfolio is scattered up and down the country, because it means you’ll have to deal with multiple agents. But there are some obvious perks; you should be able to negotiate good rates, and agents often have contacts with professional landlords and/or developers that are keen to snap up properties in bulk.
  2. Online & hybrid estate agent – similarly with using a local high-street agent, using an online estate agent won’t provide the quickest solution. However, you’ll get a better rate, as online agent fees are typically a lot cheaper and charged at a fixed rate. But I ‘spose the biggest advantage is that you can sell all your properties despite their location, via one online agent as they operate nationwide.
  3. Private buyer – always a possibility, but I couldn’t tell you where or how to find a private buyer that’s in the market for buying in bulk.

Use a professional “Property cash buying” company to sell your property portfolio quickly

I’ve already written an in-depth blog post on Property Cash Buying companies, but to give you a quick summary:

  • “Property cash buying” companies buy properties for cash.
  • Their biggest selling point is that they make the process quick and easy. In many cases, you can expect to get a cash offer within 24 hours, and a completed sale within 7 days. In more complex cases, expect longer timeframes, but still significantly quicker compared to the traditional routes.
  • Many will consider buying any property in any condition, including tenanted properties.
  • The catch is you should expect to receive an offer anywhere between 75 – 90% of the market value. Essentially, they’ll expect a hefty discount.
  • “Property cash buying” companies (also known as “We Buy Any House” companies) are growing in popularity and that’s why there isn’t a shortage of them. However, it’s critical to understand that the sector is unregulated, which naturally means the murky waters are infested with sharks, so you really need to be careful if you plan on using one. Do your due diligence, and ensure you use a company that is a member a redress scheme (e.g. The Property Ombudsman) so you benefit from consumer protection (there are more tips in the guide I linked to above).

Advantages of using “Property cash buying” company to sell your property portfolio

  • They can buy all of their properties in one transaction even if they are scattered over the country, meaning you would forego the hassle of selling them individually.
  • They can buy the property with your tenants in situ.
  • You will avoid the costs involved in serving notices and possibly court fees.
  • They will takeover other costs such as (which otherwise you may need to cover):
    • Council Tax on the empty property
    • Utility bills
    • Increased insurance costs for an empty property
    • Loss of interest on the capital that you could be investing elsewhere while you are not getting any rent
    • Potential mortgage payments where applicable

Just to give you an idea of what you can expect in terms of costs/net value compared to an estate agent, here’s an example I found on a cash buying company’s website, so make of it what you will…

Cash buying company VS Estate agent

Obviously the example only accounts for one property, so presumably you might be able to get a better deal with multiple.

So, should you use a “Property cash buying” company to sell off your rental property portfolio?

Sadly, I can’t answer that for you.

But what I can say is that if you work with a reputable and reliable service provider, you can achieve a quick sale in one clean hit, and you might find that the discount you’ll have to provide is worth the cost of the alleviated stress of having to sell one property at a time, not to mention the added concerns of whether to evict the tenants before selling, or trying to find a buyer willing to purchase a tenanted property (which is a very limited market).

At the very least, you may want to discuss your situation with a company offering the service and listen to what they have to say and how much they’re willing to offer.

Which “Property cash buying” company should you choose?

I don’t really want to steer anyone into one direction, because I believe independent research and due diligence is critical.

However, I am comfortable in highlighting Myhomebuyers.com as an example of a well-rated service, and members of The National Association of Property Buyers, The Property Ombudsman and Trading Standards. Yes, they are a partner of mine, but only because they continuously provide useful industry insight and have always been super responsive with any of my enquiries. Make of that what you will.

When I asked Myhomebuyers what the biggest advantage of using a service like theirs is, for any landlord looking to sell a portfolio or multiple properties, they swiftly responded with the following:

I think one of the benefits of a landlord selling directly to us is they cut out the uncertainty of putting the house on the open market and the tenant becoming nervous and either leaving or becoming difficult and stop paying.

Speaking with landlords none of them want to rock the boat with their tenants. We can get to an offer without accessing the property and if the offer doesn’t work then the tenant was none the wiser and there was no disruption to the tenancy.

ServiceRatingFeaturesOffers (up to)
Rating

4.7

TrustPilot Reviews
Features

  • Guarantee to beat any genuine cash offer
  • Members of The National Association of Property Buyers, members of The Property Ombudsman and Trading Standards
  • Any property, any condition considered (England or Wales)
  • Cash offer within 24 hours, Sales completed in as little as 7 days
  • Free Legal fees included, No agent costs or hidden fees
  • Guaranteed sale
Offers (up to)
80-85%of Market Value
Get cash offer

For more options, I’ve created a list of the Best rated Quick House Sale / Cash Buyer Companies that are members of redress schemes. It might be worth talking to a few of them to see if any of them manage to wet your appetite.

Happy bulk selling, folks!

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