Are you looking to sell one or more of your properties or other assets at the moment? We are not financial advisers and you should always seek independent financial advice before making important decisions regarding individual assets, however there are a few general factors that you should consider.
Knowing whether to hold onto an asset or sell it can be a challenging decision. There is no universal, one-size-fits-all strategy. Instead, it’s up to the individual investor’s investment strategy based on many factors, including their risk tolerance, time horizon, and financial goals. Investors are advised to read books and educate themselves, so they can better develop a strategy that works for them. In the property arena, there are also many training providers that can help the investor arrive at an appropriate personal strategy.
In developing your strategy, the following should be considered:
Time horizon: are you looking to develop wealth over a long period of time, perhaps for a future retirement which is still a long way off, or do you require strong gains relatively quickly?
Risk Tolerance: another factor for the investor to consider is how tolerant to risk they are. Generally speaking, potential for large, short-term gains in capital value of any investment, or large potential income, come at the expense of increased risk to loss of capital (potentially total loss). The converse is also true; lower risk investments tend to be steady performers over the long term but will underperform many other forms of investment.
Change of Circumstance: as we progress through life, our investment strategies often need to change to accommodate new events or changes in our personal circumstances. Marriage, divorce, the birth of child, receiving an inheritance, redundancy or insolvency of a business, significant illness and retirement are a few common ones. Consider carefully recent and anticipated future events, how these might change your outlook and requirements and plan accordingly.
We are property buyers, so if you are a property investor or owner who is considering selling one or more of your properties, then please do get in touch with us at The Property Lifeboat to see if we can assist you. Contact us here
