Should you sell your investment property?
There’s not doubt about it, the last 18 months have made some big changes in the real estate market.
So, if you own an investment, and you’re thinking about selling it… how do you decide?
Here are 3 tips to help you decide whether to keep your investment property or to sell it.
Tip 1 – Get an appraisal
If you’re considering selling your investment property, it’s wise to get an appraisal on the property to help indicate how much the property might sell for in the current market.
But don’t just get an appraisal on the sale price, ask for an updated appraisal on the rent too. You want to make sure you have both of those figures before you do anything else.
Tip 2 – Run the numbers
Book an appointment with your accountant (in person or on the phone) and run the numbers with them.
Bring your sales and rental appraisals to that appointment, as well as your end of financial year summary statement (from your property manager) and your depreciation schedule (your property manager should have spoken to you about arranging this when they first started managing the property for you). Having all these figures will help you and your accountant determine your exact position.
Tip 3 – Look at your future plans
There’s no doubt that property is a long term investment strategy. So take some time to consider your future plans before you decide to sell (or keep) your investment property. Make sure that your decision lines up with your future plans.
Bonus tip – Give us a call!
If you want an updated appraisal on the potential selling (and renting) price of your investment in today’s market, give us a call or a message and we can give you those figures.
Okay, and here’s the disclaimer… this tip certainly isn’t financial advice. Please remember to seek your own independent financial advice before making any decisions around your investment property.