Selling a tenant-occupied property in Nevada

Selling a rental with a tenant in it is common in Henderson, and it's very doable. Nevada law gives tenants specific protections, though, and how you handle the lease shapes who can buy your home and what they'll pay. We manage rentals as well as sell them (permitted property managers since 2013), so this is a situation we see from both sides.

Your four options

Option	Best when	Trade-offs
Sell with the tenant in place to an investor	The rent is at market rate and the tenant pays reliably	Your buyer pool is mostly investors. Most owner-occupant buyers need the home vacant by closing.
Wait until the lease ends, then sell vacant	The lease ends soon	You carry the mortgage, utilities and upkeep while the home sits empty, but you can sell to any buyer and prepare the home fully.
Give notice on a month-to-month tenancy	There's no fixed-term lease	Nevada requires written notice (see below), and some tenants are entitled to more time.
Negotiate an early move-out	Both sides benefit from ending the lease early	It must be voluntary and in writing. A relocation payment or deposit refund often makes it work.

Does the lease survive the sale?

Generally, yes. Selling the property doesn't cancel a valid lease, and the buyer takes over as the new landlord under its terms. Your buyer will want a copy of the lease, the rent amount and due date, the deposit amount and any addenda before closing.

If the tenancy is month-to-month, Nevada generally requires at least 30 days' written notice to end it without cause (NRS 40.251). Tenants who are 60 or older, or who have a physical or mental disability, may request an additional 30 days in writing, with proof of their age or disability. Always use proper written notice, and talk to a property manager or attorney before serving one.

Showings: the 24-hour rule

Under NRS 118A.330, a tenant can't unreasonably refuse entry so you can show the home to prospective buyers, but:

• You must give at least 24 hours' notice, unless the tenant agrees to a shorter notice for a particular visit.
• Entry is limited to reasonable times during normal business hours unless the tenant agrees otherwise.
• You can't use the right of entry to harass the tenant.

In practice, grouping showings into set windows, such as two afternoons a week, and offering the tenant something for their cooperation makes everything smoother.

Security deposits

When you sell, Nevada law (NRS 118A.244) requires you to either transfer the tenant's remaining deposit to the buyer in writing, or refund it to the tenant after lawful deductions, and to tell the tenant in writing who holds it. The transfer (or written notice that deposits were refunded) must happen before the deed records. The new owner takes on responsibility for the deposit and can't require an additional deposit during the term of the rental agreement. This is usually handled through escrow.

Keeping your tenant on your side

• Tell the tenant early and honestly, before the sign goes up.
• Offer something in return, like a rent credit for keeping the home show-ready or flexibility on the move-out date.
• Protect their privacy: keep valuables and personal photos out of listing photos, and use a lockbox with an electronic showing log.
• Get any early move-out agreement in writing.

An unhappy tenant can quietly sink showings. A cooperative one can help you sell faster.

Selling to an investor with the tenant in place

Investors buy on numbers. Have these ready: the lease and any renewals, the rent ledger (12 months if you have it), the deposit amount, utilities and who pays them, HOA rules on leasing, recent repairs, and the property's condition. A tenant paying below market rent lowers what an investor will pay. A long-term, on-time tenant at market rent raises it.

If you plan to buy another investment property, ask a tax professional about a 1031 exchange before you list. The timing rules are strict.

Keep planning your sale

Already managing with us or looking for management instead? See Nevada Desert Realty Property Management.

Frequently asked questions

This page is general information about selling real estate in Southern Nevada, not legal, tax or financial advice. Laws, fees and market conditions change; confirm details for your situation with the appropriate professional.