When you are selling an investment property, we always recommend consulting your financial planner first. Your financial planner can ensure that selling the property is appropriate for the short and long-term health of your investment portfolio. In Perth, it is especially important because the market is so competitive.
When selling a property, we have seen common mistakes that many investors make that must be avoided. Here are the most important ones.
Impinging on Tenants’ Lifestyles
When selling a property, many forget that it is the tenants who have paid for most of their property and in many cases have provided them with positive cash flow. Always remember that no matter how badly you want to sell, your tenants still have rights.
Instead of violating the rights of tenants who are fulfilling their tenancy contracts, why not make them part of the process? Let them know if you are planning an open house. Most of all, offer them financial incentives for their trouble. Usually, this will be in the form of rental credits or a pre-agreed fee per visitor or open house.
A happy tenant can help you sell your house faster, especially if they have incentive.
Failure to Consult Your Financial Team
Yes, we said “team.” That should include, at the very least, a financial planner, a mortgage broker and a real estate firm. Timing is extremely important in any sale, especially in the Perth market and wrong timing can cost thousands of dollars. If you are selling because you are in the panic mode, your team may be able to provide an alternative solution.
Failure to Maximise Income and Opportunity
Call the financial planners and mortgage brokers in our Perth office of Purely Finance. We are relentless in pursuit of a better solution for your individual needs and situation. We know the property market and where interest rates are on any given day. We keep track of all market determinants to ensure that your timing is perfect.
Unless you are a financial genius with unlimited information at your disposal and you have enough time on your hands to do all of the market research, you can’t afford to go it alone.
Call Purely Finance today: (08) 9472 9766.