Shifting And Selling When You Could Shift And Build Wealth
Ok, so it’s time to move.
Whether you’re moving streets, suburbs, to another town, interstate or overseas, if you have the borrowing capacity then you have a choice to make.
- - You can sell your home
- - You can continue to own it and rent it out
How do you go about making the decision that’ll best suit your life and your lifestyle?
Well, the best advice is to get advice. Engage the services of trustworthy, knowledgeable professionals to help you with your decision.
A reputable real estate agent, for example, will have intimate local knowledge of the current and projected state of the property market and you should also consider a good financial advisor and/or an accountant.
You’ll need to carefully do some calculations and be sure to ask plenty of questions until you receive plenty of answers.
You’ll want to know things like:
- - What is the state of the market? Is it stable, climbing or even falling? If it’s rising is there an adequate foreseeable gain to encourage you to hold on to the property?
- - How much rental income could you potentially and realistically achieve?
- - What are current and projected vacancy rates in your area?
- - Is a property like mine likely to be in high demand by potential tenants?
- - What maintenance costs will be incurred if I continue to own it?
You may well analyse your situation and discover that, rather than your immediate thoughts of selling, you’ll be much better off renting out your property. You don’t need a high income or great wealth; all you need is an understanding of how it works, plus sound financial and real estate advice.
So you see, moving out doesn’t always mean “selling up”. In many cases, keeping your property when you move and choosing to rent it out can be an exceptional wealth-creation strategy.
It’s definitely worth taking the time and effort to consider.
Every situation is unique. In some cases people are better off selling, whilst others are best advised to hold. Do your homework carefully first. Choose an advisor or even better, gather a team of advisors that you can trust – an accountant, a financial planner, your real estate agent - and make decisions on whether to sell upon moving or not to, based on sound advice.