Is it the right time to sell my investment property?

There is no shortage of information and opinion about any real estate market and an abundance of advice on what the best options are in the market at the time.

If you are an investment property owner, there might be information relating to changes in legislation, potential tax benefits and dips and rises in the property market, all influenced by various local and world factors.

What is the most important aspect to consider when choosing to sell your investment is your individual circumstances and the strategy that fits your goals, rather than moving with the crowd.

Before making any decisions, analyse your investment plan and talk to your financial advisor about your current situation. They are likely to work through the numbers with you and advise if the conditions are right for you.

One of the reasons that you choose to sell could be that the property expenses and cash flow have consistently been in negative territory and with rising interest rates and costs associated with running an investment, you may find that making ends meet has become more challenging.

Your advisor can work through your finances with you and should you decide to keep the property, may recommend solutions like refinancing your current loans to source a better deal. Our sales team can also assist, by providing a market appraisal of the property so that you can gauge where the current value lies prior to refinancing.

The market is cyclical, and you may decide that with increases in prices achieved in your local area, that it is a great time to sell and invest in other strategies. Keep in mind that if there are considerable gains, you will be liable for capital gains tax after the sale.

Not all markets are the same and there are often micro-markets. While some are increasing, others could be decreasing or prices stabilising. The same occurs for rental properties and increases in rents achieved will depend on demand.

The best way to find out what is happening in your area is to speak with one of our sales agents who can provide you with an accurate update on recent sales and the trends that they are seeing.

Our sales team can also offer the information you need to start thinking about whether you should retain or look at the divestment of your property.