How to Sell Land With a Lease
In order to take advantage of the real estate market cycle, you may need to put a parcel of land up for sale even with an existing lease on the premises. There are specific legal procedures to follow that permit you to sell land with a lease.
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Instructions
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Place the land on the market for sale.
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When you find a qualified seller, enter into a contract of sale. In the contract, clearly state that the land is subject to an existing lease agreement. Even though you orally convey this information to a prospective buyer, make sure you disclose the lease in writing and in a document--the contract of sale--signed by the purchaser.
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Notify the lessee, in writing, that you have entered into a contract to sell the real estate. State in the communication that you recognize the lease agreement and include references to the existing lease--and the obligation of the purchaser to honor that agreement--in the contract of sale.
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Schedule a date and time to close the real estate contract and consummate the sale of the land.
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Attend the closing and sign a deed conveying ownership of the real estate to the purchaser.
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Provide the purchaser a copy of the existing lease agreement for her information and reference.
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Tips & Warnings
Consider engaging the services of a professional and experienced real estate agent. A qualified real estate agent is in the best position to ensure that you get the best price on your property, with a sale occurring in the most expedient manner possible.
