Your gain is equal to the difference between your amount realized the selling price less any commissions and closing fees.
Selling an apartment yourself follows a different process than doing a “for sale by owner” (FSBO) transaction on a house. Yard signs and the multiple listing service (MLS) are two tools that attract buyers to houses on the market. With an apartment building that’s for sale, the owner may want to keep such news private so as to not scare away current tenants. In order to sell your apartment building, you’ll have to create the marketing material, find potential buyers, and sell them on the positives of your property directly.
Locate potential buyers by identifying owners of similar apartments in a reasonable radius around your building. For a smaller building of 10 or fewer units, look in a 1- or 2-mile radius, and for 11 to 30 unit buildings look in a 2- to 4-mile radius. Contact your city’s assessor to obtain a list of rental licenses, which will have the names and addresses of property owners. In certain cases, this type of information may be found online.
Spruce up your property for better curb appeal. At the very least, make cosmetic repairs to areas that experienced problems in the past. For example, paint over ceiling stains that formed as a result of a leaking roof that you have since fixed. Leaving such a stain will lead buyers to assume that you still have a leaky roof.
Create a marketing package and flyer for your property. The package must contain a description of the property, interior and exterior photos, a description of the area, and a description of the neighborhood’s demographics. In addition, your package must contain a full underwriting of your property, including income and expenses that reflect an accurate capitalization rate.