Real estate is a common investment option. People expect solid returns and often invest in real estate to rent it out. Agents like real estate agents in Miami, FL, with a great reputation and goodwill in the community, are exceptionally careful with their clients' trust.

A trick question here is, how long should you keep enjoying the apparent benefits of a rental property? Have you ever noticed any problem with your garage door in your home or business? Has your rental property been giving you a tough time of late? Are you planning to shift sometime soon and rent out your old house? Or, does your rental property solve some of your most critical financial needs, and does the rent you get from it play a vital role in allocating your funds? Whether your rental piece of property is a boon or a bane can’t be decided just like that. A lot of parameters need to be analyzed before drawing any suitable conclusion. 

Some of the key factors have been discussed as follows -

  1. RESPONSIBILITY - One of the most common reasons that people have for selling their rental property is the responsibility that comes with it. It becomes overwhelming sometimes to take time out from your busy schedule to take care of the property. If your rental property has also become a reason for constant mental fatigue and is doing you more harm than good, then it may be high time that you consider selling it at a decent cost. 
  2. NEED FOR MONEY - Another ground on which you may sell your rental property can be that you are in strict need of funds. Your rental property can fetch a handsome amount if you urgently want some bucks. For example, Many Miami rental property owners are ready to put their home at rent, and they have rental properties in Miami, FL, but are unsure about selling their property. You always have the option to buy another suitable piece once you have stabilized financially. Still, rather than getting drowned in loans at hefty interest rates, you should consider selling your rental property to settle some urgent dues. 
  3. HIGH MAINTENANCE COST - Rental properties are not easy to maintain. Today the piece may look all good and classy, tomorrow it may need maintenance, get outdated, or the garage door may start making weird sounds. The condition, age, size, and type of property decide how much or how low the cost is. It varies from property to property and can’t be estimated objectively. If you feel that the maintenance costs are too much to bear, you should sell your property and invest in something with better returns. 
  4. LONG-TERM PLANS - Another important parameter that decides whether it is the right time to sell your rental property is your intentions with it back when you bought it. Your long-term plans play an essential role in your investment schemes and agendas. If you bought this property to supplement your retirement income, it is better to keep it rather than sell it as a knee-jerk reaction to a minor financial crisis. 
  5. BETTER ASSETS AVAILABLE - The grass always seems greener on the other side; sometimes it actually is! You may have better investment options available at your disposal. In that case, sticking to the age-old idea of investing in rentals and real estate doesn't make much sense. It is all about profit and returns on investment in the end. You must go for it if you are getting better deals - in real estate or otherwise. 
  6. POOR PERFORMANCE - Rental properties can tie up much capital and equity. Costs in the form of deposits to avoid insurance, one-time costs when you buy a new property, and the ongoing cost incurred on the property management are often too much to invest in something that doesn’t offer expected returns. You may consider selling your rental property if it is not delivering the expected returns and has performed poorly for the last few months or years. If the yield (rent - in the case of investment properties) and the capital growth are not satisfactory, then it doesn’t make much sense to stick to the property.
  7. RECENTLY BOUGHT - An excellent reason to hold onto your rental property is that it was bought recently and needs time to return the favor. If you have purchased the piece four or five years ago, then it is advisable to stick to it for another three to four years. Another reason is that going in and getting out of a property deal can be a time, energy-, and money-consuming activity. The short-term gain may seem tempting, but it can cost you heavily in the long run. Rather than regretting the abrupt decision later, waiting for the right time is better. 
  8. DECENT PERFORMANCE - If your property is performing decently in the rental market and returning you some decent bucks, why would you want to sell it on Earth? A constant passive source of income is not wrong at all. If the yield (greater than 5%) and the capital growth are excellent, then you must not even think about selling your property doesn't matter how hot the market is. With increasing population and dwindling resources, the market is expected to get even hotter shortly. Rather than playing foolishly with this well-invested money, giving you solid returns, you should consider investing the profits gained somewhere. 
  9. HIGH POTENTIAL FOR GROWTH—Another reason to stick to your investment property is that it has a high potential for growth. If the graph is expected to go higher with time, then it would be a foolish idea to sell your property at whatever-you-get prices. A pro tip here is to balance your growth expectations with the timing of the sale. Decisions such as selling or buying a piece of property must not be made with short-term goals in mind. 
  10. A BACKUP PLAN FOR RETIREMENT - If your rental property is a key part of your financial strategy and holds the potential to supplement your family income post your retirement, then you must think twice before selling it. It may look like a liability or a headache today, but it can become an asset once it becomes the only source of income for you. If you are not facing any financial crisis now and don’t have any better sources of passive income with such a high potential for growth, then it is not advisable to sell your rentals. 

That being said, selling it or keeping it is entirely at your discretion. These were some of the major deciding factors but depending on your current situation, many other factors can emerge and influence your decision. So, decide wisely whether you want to put up that real estate sign yet! It may not be a walk in the park but it is not that tough too.

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