4 Major Signs That Tell You When To Put Your Investment Property Up For Sale in Salt Lake City
Are you contemplating whether or not it’s time to put your investment property up for sale in Salt Lake City? Here is our latest post, we will be sharing some basic tips with you on how to know when to sell, and the possible options to explore!
In the general sense, owning real estate does seem to be one of the best ways to make some extra income. You should, however, note that it’s not every property that will be worth the sweat.
Moreover, there are certain properties that shouldn’t be held onto for too long, or they could completely negate your profit projections. Besides, if your investment property doesn’t seem to be performing as expected, you may want to consider selling it for a different investment!
In this article, you will learn 4 major market signals that tell you when to sell your investment property in Salt Lake City.
Negative Cash Flow
The fact is, investment properties have their ups and downs. It’s that little something you pay for being a landlord. But you must be on the lookout for patterns. If this is an irregular occurrence, you may want to consider holding on through the temporal value-depreciation period. However if negative cash flow becomes the norm, or you find that you’re constantly having troubles with retaining high-profile tenants, it might just be all the indication that you need to cut your losses and take a walk!
There’s absolutely no law that compels you to hold on to your rental property forever. You must remember that there are tons of better investments out there, and releasing cash from a low-performing rental is certainly a great way to upgrade your financial status.
Your Proximity to the Property
Depending on what works for you, you may discover that managing your property from thousands of miles of away can become burdensome.
You may even find it less profiting to pay your property manager, let alone abandon all other obligations to travel down – to handle things on your own. This is because property management goes way beyond the collection of rentals or dispatch of hired service teams to carry out periodic maintenance.
It includes regularly checking on the property, tenant screening as well as relationship building – all of which can be almost impossible or very difficult to carry out if you aren’t located nearby.
Only in a few exceptional cases are the landlords and tenants able to communicate effectively without a middleman, the property manager. In most cases, these relationships are possible because there may have been an existing relationship, directly or indirectly, between the landlord and the tenant.
A Significant Rise In Value
Real estate business can be somewhat dicey. What juices real good today, could take a downward turn the very next moment. This may be the case for a number of reasons such as vacancy issues, a sudden drop in rent prices in your area, or an overall value depreciation. So, if you find that your house has risen significantly in value, and you are able to resell the property for a substantial profit, you may want to consider doing so!
Although monthly or annual rental brings in profits from time to time, you must remember that there are no guarantees on these profits. Which is in addition to the fact that it’s not within your powers to retain these high-profile tenants for the long-term.
The smart thing to do, therefore, when a significantly profitable opportunity to resell your property presents itself – is to cease it immediately and sell!
Rise In Maintenance Costs
In addition to the myriads of reasons and external factors that could trigger a significant value depreciation of your property, aging is somewhat an internal factor that you do not have complete control over. And if you think you do, chances are that you’re not looking at the increase in the overall cost of maintenance.
In some cases, these demands can become extremely expensive, overwhelming and very frustrating especially for Salt Lake City investment property owners.
Truth is, your investment should give you a real sense of pride, as it generates substantial income especially for you and your family. However, when you begin to experience increased stress levels or frustration from owning a particular property, chances are that the property has overstayed its welcome, and is, in fact, due for a resell.
So, perhaps you own an investment property in the Salt Lake City area, and you wish to sell it. Feel free to contact us, and let’s run the numbers together!
Our professionals have vast experience in real estates and related issues. We can also help you find out whether or not you should keep the property, hire an agent, or sell it directly!
Whatever the case may be, you can rest assured that you will have options when selling your Salt Lake City investment property, because we are here to help!