Inform LOVE IT OR LIST IT
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When to Sell or Keep Rental Properties
eciding to keep or sell a property isn’t quite as easy as loving or “falling out of love” with it. Many factors need to be considered before making the choice to give up or keep your property. Issues include myriad market forces such as interest rates, economic development, personal life changes, and others. Property owners must take one or several of these concerns into account before making the choice about selling or keeping their rentals. Financial experts say that property owners need to keep an eye on the
By Ryan Tucker economy and financial impacts, not just in general, but also specific things that come up in the region where the property is located. A shift in the neighborhood might prompt you to consider selling. Home values in the region can decline when neighborhood stability decreases or crime rises. The only time to hold onto a property in this situation is to know about future planning. Different areas in cities and towns often go through phases when it comes to development and redevelopment. It’s important to keep an eye on local politics and city planning.
If you happen to own a home in which the neighborhood is going downhill, but also know the city or county has plans for revitalization and redevelopment, then it’s best to consider the effect on property values. You wouldn’t want to sell a rental in an area expected to become the next city center or where something like a sports complex or arts center is being built. Redevelopment means more money in your pocket whereas a rental in an area in decline might be better to sell before property values plummet. MAY+JUNE 2022 / EBRHA.COM
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