How Do You Know When It Is The Right Time To Sell A Property?

12 Nov

Timing the property market is incredibly difficult.  It’s always easier after the fact to pinpoint particular highs or particular lows.  That is why hindsight is 20/20 vision.

bubbles 150x150 How Do You Know When It Is The Right Time To Sell A Property?

At the moment it would appear we are in the makings of a bubble, or maybe we are in a bubble.  Prices are racing ahead, demand is high but supply is low which is boosting prices even further.  Areas of London are seeing record breaking price increases – and apparently these rises are even rippling out to other areas of the country.  And, let us not forget there are still areas of the country where prices are way below their 2007 peak – some are even cheaper than what they were 10 years ago!

But, how do you know when to sell a property or when to hold on?

question mark 150x150 How Do You Know When It Is The Right Time To Sell A Property?

I have been pondering this because right now seems a great time to sell up and cash in…or is it?

Selling any property may put money in your pocket, but then what are you going to do with it?  If you want to spend it that’s fair play – but what about if you want to invest it?

invest 150x150 How Do You Know When It Is The Right Time To Sell A Property?

Investing in property at the moment is actually incredibly hard work.  I have been to countless viewings and seen so many properties my eyeballs are still spinning.  The major issue I am having right now, is that so much of the property I am looking at, has already had any future value increases priced into the price.  That means what I am buying today, is actually at tomorrow’s prices.  Which is fine – as long as they continue to move up.  But what if they don’t?  What then?

Investing in a property which doesn’t make financial sense is financial suicide.  Buying a property today at tomorrow’s prices doesn’t give you a lot of wriggle room if prices move downwards – and there is always that possibility.

EmptyPockets 150x150 How Do You Know When It Is The Right Time To Sell A Property?

And it’s a hard one to call.

Just today I have learned the property I sold seven months ago in Stevenage would now fetch more than 10% higher than the asking price we achieved.  In real terms what that means, is I could have added another £20,000 clear profit to my bottom-line.  Yes, that is the equivalent of earning an extra £2857 per month for doing nothing.  All I needed to do was just wait a bit longer and sell at a later date.

relax 150x150 How Do You Know When It Is The Right Time To Sell A Property?

Which prompts me to ask again: How do you know when it is the right time to sell a property?

Be Sociable, Share!
  • more How Do You Know When It Is The Right Time To Sell A Property?
zv7qrnb