How to Sell a House with Tenants in Maryland

Sign to sell occupied rental property maryland

Do you own a rental property in Maryland that you want to sell? If so, you might be wondering how to do it without any hassle or headache.

Selling a house with tenants in Maryland can be tricky. You have to deal with legal rights and obligations, tenant cooperation, and market conditions. You also have to choose the best selling method for your situation.

But don’t worry. We’re here to help.

In this article, we’ll show you how to sell a house that’s occupied by renters in Maryland. We’ll explain the pros and cons of different selling options, and how to avoid common pitfalls and risks. 

By the end of this article, you’ll have a clear idea of how to sell your property in Maryland with tenants fast and easy. You’ll also be ready to take action and move on with your life.

Let’s get started.

Disclaimer: This blog post is intended for educational purposes only. As every real estate transaction is unique, Creo Home Buyers recommends you consult with a trusted advisor regarding your specific situation.

What are the Challenges of Selling a House with Tenants in Maryland?

Selling a house with tenants in Maryland is not a walk in the park. You face many challenges that can make the process difficult and stressful.

Some of the challenges of selling a rental property that’s occupied:

  • Uncooperative or unhappy tenants: Your tenants may not like your plan to sell the property and may make it hard for you to show or sell it. They may deny access, damage the property, or sue you for violating their rights.
  • Lease agreements and state laws: Follow the rules that protect renters in Maryland when selling your property. For example, notify them before entering or showing the property, honor their lease terms, and pay them for moving out if required by law.
  • Limited pool of buyers: Not all buyers are interested in a rental property with tenants. Some buyers want to live in the property or have their own plans for it. Others fear inheriting tenants who may cause problems or have legal issues. This can lower your chances of finding a buyer fast and for a good price.
  • Property condition and appearance: Buyers care about how the property looks and feels. You want to make sure that your property is clean, attractive, and well-kept. But this can be hard when you have tenants who may not cooperate or care. You also have to respect your tenant’s privacy and quiet enjoyment.

Selling an occupied rental house in Maryland can be a hassle. But it doesn’t have to be. There are ways to make the process easier and smoother for you and your tenants. Here are some tips and best practices that can help you:

  • Communicate with your tenants: Keep them informed and involved. Be honest and transparent. Answer their questions or concerns. Treat them with respect and courtesy. Show them that you appreciate their cooperation.
  • Offer incentives or compensation: Give them some perks or rewards for their cooperation. For example, a rent reduction, a cash bonus, a gift card, or a positive reference.
  • Work with an experienced agent: Get help from a professional who knows how to sell rental properties. They can handle the legal and logistical aspects of the sale. But remember the costs and drawbacks of working with an agent.
  • Choose the right timing and method of sale: There are different options for selling a house with tenants in Maryland. Pick the option that works best for your goals, needs, and situation.

Know Your Legal Rights and Obligations as a Landlord

Selling a house with tenants in Maryland requires you to follow the law. Maryland has specific landlord-tenant laws that protect both you and your tenants when selling an occupied property. You don’t want to break these laws or face legal trouble from your tenants.

Give Proper Notice to Your Tenants

You must give proper notice to your tenants before entering, showing, or selling the property. Maryland law says that you must give at least 24 hours notice before entering the property for any reason, unless it’s an emergency or the tenant agrees. You must also give reasonable notice before holding an open house or showing the property to buyers.

When it comes to providing notice, be sure to comply with all state and county laws in which your property is located.

For instance, in Baltimore City, property owners are required to provide “First Right of Refusal” in certain situations which allows the tenants the opportunity to buy the property before it could be sold to another buyer.

Terminate or Transfer the Lease Agreement

You also need to think about what to do with the lease agreement when selling your renter-occupied property in Maryland. You have different options depending on the type and length of the lease.

If you have a fixed-term lease, such as a one-year lease, you can’t end it before it expires unless the tenant agrees or breaks the lease terms. But you can transfer it to the new owner, who has to honor it until it ends. You can also negotiate with the tenant to end their lease early or offer them incentives to move out.

If you have a periodic lease, such as a month-to-month lease, you can end it by giving proper notice to the tenant. The notice period depends on how often rent is paid.

For example, if rent is paid monthly, you have to give at least one month’s notice. If rent is paid weekly, you have to give at least one week’s notice. You can also transfer it to the new owner, who can keep it or end it by giving proper notice.

Avoid Violating Your Tenants’ Rights or Privacy

The last legal aspect that you need to be aware of when selling a rented house in Maryland is how to avoid violating your tenants’ rights or privacy. As a landlord, you have certain responsibilities and duties towards your tenants, such as:

  • Maintaining the property in a safe and habitable condition
  • Providing essential services and utilities
  • Complying with health and safety codes and regulations
  • Protecting your tenants from discrimination and harassment
  • Respecting your tenants’ quiet enjoyment and privacy

If you fail to fulfill these responsibilities or duties, you could face legal consequences, such as:

  • Being sued by your tenants for damages or injunctive relief
  • Being fined or penalized by government authorities for violations
  • Losing your right to evict your tenants or collect rent
  • Having your sale delayed or canceled by court order

Therefore, it is crucial that you follow the law and treat your tenants fairly and respectfully when selling your house with tenants in Maryland.

What are the Options for Selling a House with Tenants in Maryland?

Now that you know the challenges of selling a rented Maryland house, you may be wondering what your options are. How can you sell your occupied property in a way that works for you and your existing tenants? 

Well, there are three main options for selling a house with tenants in Maryland, each with its own advantages and disadvantages.

Let’s take a look at each method for selling a property that’s rented to help you decide which one is best for you.

Waiting for the lease to expire

You can wait until your tenants’ lease ends and then sell the rental once it’s unoccupied. This option gives you more control and flexibility over your property and sale. It also makes your property more attractive to buyers who want to live in it or have their own ideas for it.

But waiting until the lease or rental agreement expires and your tenants vacate to sell the property has some downsides. Depending on how much time is left on the lease, you could be waiting several months to a couple of years before you’d be able to sell the home. Then there is always the risk of vandalism as you wait for the house to sell while it sits empty. 

However, here are some tips to help you prepare your property for sale after your tenants move:

  • Clean, repair, and update your property: Make your property look its best for buyers. Hire professionals to deep clean and fix your property. Make some minor improvements, such as paint, carpet, or fixtures.
  • Stage and market your property: Make your property stand out and attract buyers. Hire a stager or use DIY tips to make your property spacious, bright, and cozy. Take high-quality photos and videos and write a catchy listing. Advertise your property online to potential buyers.
  • Price and negotiate your sale: Get the best possible price for your property without losing buyers. Hire an appraiser or use online tools to find the fair market value of your property. Set a realistic asking price based on the market and your goals. Negotiate with buyers or agents and be flexible on some terms.

Selling with tenants still living in place

Another option is to sell your property with tenants in place. This option allows you to keep collecting rental income until the sale is closed. It also provides some built-in staging for your property, as it shows that it is livable and functional. It also makes your property attractive to buyers who are looking for an investment opportunity or a 1031 exchange. A 1031 exchange is a tax-deferred transaction that allows you to sell one investment property and buy another one of equal or greater value without paying capital gains taxes.

However, this rental home sale option also has some drawbacks. You will have to coordinate with them every time you want to enter or show the property to buyers and real estate investors. You have legal duties and limits when selling an occupied property. Check your lease and state laws to see what you and your tenants have to do. You may get a lower sale price for an occupied investment property because buyers are taking on more risk and hassle by inheriting tenants. 

Tips on how to sell a property with current tenants in place:

  • Review your lease agreement and state laws: Know your legal rights and duties when selling a property with tenants. Check for any clauses or laws that may impact your sale. Get legal or professional advice if needed.
  • Inform and negotiate with your tenants: Tell your tenants why, when, and how you are selling the property. Answer their questions or concerns honestly and respectfully. Negotiate and agree on terms that benefit both parties.
  • Find buyers who are interested in buying a rental property with tenants: Look for buyers who want an investment or a 1031 exchange. They are more likely to buy a property with tenants and pay a fair price. Use online platforms, tools, agents, or investors to advertise your property.
  • Transfer leases and security deposits to the new owner: Transfer the leases and security deposits of your tenants to the new owner or return them to your tenants. Give the new owner copies of all relevant documents. Notify your tenants of the change of ownership and contact information. Resolve any issues or disputes with your tenants before closing the sale.

Compare Different Methods of Selling an Occupied Property

Now that you know your legal rights and obligations as a landlord, you might be wondering how to sell your house with tenants in Maryland. Well, you have three main options: listing with a real estate agent, selling to a traditional buyer, or selling to a cash home buyer. Each option has its pros and cons, and you need to weigh them carefully before deciding on the best way to sell your occupied Maryland rental.

Listing with a Real Estate Agent

One way to sell a property with existing tenants in Maryland is to list it with a real estate agent.

An agent can help you market your property, find buyers, negotiate the price, and handle the paperwork and closing. But listing with an agent also has some drawbacks, especially when selling an occupied property.


  • Higher potential selling price: Agents can reach more buyers with multiple listing services and other marketing channels.
  • Expertise and experience: Agents can advise you on how to prepare your property, price it right, and deal with any issues during the sale.
  • Representation and protection: Agents have a duty to act in your best interest and follow the code of ethics of their profession.


  • Commissions and fees: You have to pay 6% of the sale price to the agent. For example, if you sell your house for $300,000, you have to pay $18,000 to the agent.
  • Longer time on market: It can take months or years to sell a house through an agent. The median time on market for houses in Maryland is 63 days, but it can vary depending on your property and the market.
  • Hassle and stress: You have to keep your property in show-ready condition, coordinate with your tenants and agent for showings and inspections, and deal with contingencies and requests from buyers.
  • Less control: You have to rely on the agent’s skills and strategies, follow the market trends and conditions, and accept the offers that come your way.
  • No guarantee: You may not find a buyer who will pay your asking price, qualify for financing, or close on time.

Selling to a Traditional Buyer

You can also sell your tenant occupied property directly to a traditional buyer. A traditional buyer is someone who wants to buy your house for themselves, their family, or as an investment. They usually use mortgages or loans to finance the purchase. Selling to a traditional buyer has some pros and cons compared to listing with an agent.


  • Save money on commissions and fees: You don’t have to pay an agent for their services. You only have to pay for closing costs, such as title insurance, transfer taxes, and escrow fees.
  • Get the same potential selling price: You can use online tools and resources to research the market value of your property and set a competitive price.


  • Face the same challenges as listing with an agent: You have to deal with a longer time on the market, more hassle and stress, less control over the process, and no guarantee of the outcome.
  • Take more risks and liabilities: You don’t have an agent’s guidance or representation during the sale. You have to handle all the legal and financial aspects of the sale yourself, such as contracts, disclosures, appraisals, inspections, disputes, and laws.
  • Compete with other sellers: Most buyers prefer vacant properties over occupied ones. Buyers may not want to buy your house if they have to inherit your tenants or wait until they move out.

Selling to a Cash Home Buyer

When you need to sell a tenant-occupied property in MD, cash home buyers can be a great option. A cash home buyer is a real estate investor who buys houses for cash in any condition or situation. Cash home buyers typically don’t require lengthy financing or inspection contingencies.

Selling to a cash home buyer in Maryland has some pros and cons that you should consider.


  • Faster closing time: Cash home buyers can buy your house in as little as 7 days. You don’t have to wait for anything. You get paid in cash right away.
  • Lower costs and fees: Cash home buyers don’t charge any commissions or fees. They also pay for all the closing costs. You keep all the money from the sale.
  • More convenience and simplicity: Cash home buyers can buy your house in any condition or situation. You don’t have to do any repairs, cleaning, staging, or showing. You don’t have to deal with tenants, contracts, or contingencies.
  • More control over the process: Cash home buyers can offer you a flexible closing date that suits your needs. You can choose when to sell and move out. You can also negotiate the terms and price of the sale.
  • Certainty of the outcome: Cash home buyers can guarantee that they will buy your house once they make an offer. You don’t have to worry about them backing out or changing their mind.


  • Lower potential selling price: Cash home buyers usually offer below market value for houses. They do this to cover their costs and risks of buying houses in any condition or situation.
  • Less exposure to buyers: Cash home buyers usually don’t advertise or market your property to other buyers. They only buy it for themselves or their network of investors.
  • Possible scams or frauds: Not all cash home buyers are legitimate or trustworthy. Some may try to scam you by offering lowball offers, asking for upfront fees, or changing the terms at the last minute.

How to Sell Your House with Tenants in Maryland to Creo Home Buyers?

If you are looking to get cash for your house with tenants in Maryland, look no further than Creo Home Buyers. Creo Home Buyers is a local professional home buying company that has been buying houses in Maryland since 2018. We buy houses in any condition, location, or situation, including occupied rental properties.

Here are some reasons why Creo Home Buyers is a great option for selling a house with tenants in Maryland for cash fast:

  • Fast cash offers: We will evaluate your property and can make you a fair cash offer within 24 hours of contacting us. You don’t have to wait for months or years to sell your property. You can get an offer right away and decide if you want to accept it or not.
  • Close in as little as 7 days: We can close the deal in as little as 7 days or on your preferred timeline. You don’t have to deal with any delays or uncertainties that come with traditional sales methods. You can sell your property fast and move on with your life.
  • Little to no closing costs and fees: When we buy your occupied rental, we pay for closing costs that you’d traditionally pay for. You get to keep the full amount of what we offer you.
  • We buy houses as-is: We can buy your property in its current condition, no matter how good or bad it is. You don’t have to make any repairs, updates, or improvements to your property. You don’t have to clean, stage, or show your property to anyone. 

If you want to sell your house with tenants in Maryland to Creo Home Buyers, all you have to do is fill out our form or call us at (410) 870-9228. We will get back to you quickly hours and make you a free, no-obligation fair cash offer for your rental property in Maryland. 

If you accept our offer, we can close the deal in as little as 7 days or on your preferred timeline.

Don’t wait any longer. Skip the hassle of listings and agents! Sell without an agent for cash to Creo Home Buyers in Maryland today and get rid of your rental property problems once and for all!

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