Is It Time To Sell That Residential Property?
Yes, we’re advised against it. But then humans, after all, most of us invest or trade emotionally. Sometimes the decision hits, sometimes not so much.
In real estate, one of the biggest drawbacks of being emotional when investing is ending up with a property that might not necessarily be the best in our portfolio’s interest.
And what’s worse?
Still emotional (and now attached to that property), we’re reluctant to sell it and make an exit for a better opportunity.
Even if that’s not very relatable to you, in any context, point is, not every residential property is worth keeping. They need to be sold, either because of an imminent trend shift or it simply won’t bring you the bigger rewards comparatively.
Unfortunately, even when the writing is on the wall, many investors fail to act proactively and on time in selling their properties and opening their portfolio to newer opportunities.
Are you one of them?
Here are 3 big signs that it’s really the time to sell your residential property:
1. You See A Better Opportunity
This is more of a problem of new investors who are crunched in the capital. Once they purchase a property, they basically hoard their capital, now left with not much to invest in other opportunities.
If you’re in the same situation, audit the opportunity you’re looking at. If it’s really better and its rewards will sustain for a longer term, selling your existing property and tapping on this opportunity is a good decision.
2. The Property Looks Unsellable
It happens to the best of us. Even after all the research work, we end up buying a bad property that’s less likely to sell at the desired margin.
In such a situation, when you know the deal has gone bad, making a quick exit is the best decision. Get in touch with one of the top real estate companies and work together to find a favorable deal for the property.
The big residential and commercial real estate companies, leveraging on their large network of investors, dealers and other stakeholders, can help you find a buyer rather quickly.
3. The Risk-Reward Ratio Is Too Wide
In the dynamic housing market, the risk-reward ratio continuously changes for the same property. This is why keeping an eye on the market and doing regular analysis is so important.
Depending on the changing economic trends and micro picture, the risk-reward ratio of your existing properties may have widened. If that’s the case, and there seems to be no possible boom in the coming months and year, selling such properties and going for better opportunities is likely the best option.
These are three signs that it’s time to sell your property and make better use of the better opportunities.
Of course, selling apartments, villas, and bungalows is a challenge in itself. So, instead of doing it all by yourself, hire one of the real estate investment management companies. Bank on their services; sell, buy, invest and network to build a high-worth portfolio.