When Do You Sell Your Investment?

You sell your Lease Option property when the Tenant Buyer decides to exercise their option. If they don’t exercise their option, then you have to decide what to do next.

You want to sell your fix and flip investment as soon as you can, as soon as it makes sense. Usually, you would sell when the work is done. However, I did have one property that I sold “as is”. Somebody else wanted to buy it from me and fix it themselves. So I guess, technically, this was not a fix and flip, since I didn’t do any fix. When looking to sell your fix and flip, you don’t want to try to sell it prematurely. Don’t let your perspective buyers see what it looked like before. But then, you want to make sure that people see it as soon as it is finished so that you can get rid of it as soon as possible. Be realistic about setting your price because you want this property to sell fast so you don’t have to carry for several months which eats away at the profits.

When buying a Buy, Rent and Hold investment. You are usually not buying with an intent to sell. You may decide to sell later for a number of reasons:

• You are tired of being a landlord and you don’t want to manage the property anymore.
• You need the money due to some unforeseen circumstances (be careful you don’t become a motivated seller).
• The property has appreciated well and now is the right time to sell.
• You are selling because you want to buy bigger investments (e.g., selling your single-family home to buy an apartment building).

So when should you sell your investment property? It depends.

Happy Investing,

Jim Pellerin

Investor, Advisor, Speaker, Coach, Writer

7 Steps to Real Estate Riches

The Realty Millionaire

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