Categories Real estate

If you are planning to sell your real estate portfolio, it is best not to do so.

This quote is one of my favorites: “The best times to buy real estate are now and the best times to sell it are never.”

You’re doing well, you live the good life. You have passive income coming in every month and your portfolio has probably grown quite a bit. You are doing well. You have passive monthly income and your portfolio has probably grown quite a lot.

You have no reason to sell. You are living a life you want because your property portfolio produces income. There are still a few situations where I would recommend selling your portfolio.

Related: How To Increase Profits (& Reducing Hassle) While Selling Your Investment Property

Three Reasons to Consider Selling Your Real Estate

1. A life-threatening emergency can occur.

You should consider liquidating your properties if, for any reason, you have an emergency in your family. Reason being? Unexpected costs will likely arise.

Personal, I believe you should always have a buffer set up in the event that something like this happens. This way, it won’t impact your portfolio. It is something you should still keep in mind, because you don’t know what will happen tomorrow.

2. When the market begins to move dangerously.

We’ve all seen the 2008 bust. At that time, I thought things were out of control. Everyone was talking about real estate investment. Cab drivers owned five properties. This type of thing is usually a bubble. If you get the feeling that the market is going in this direction, you may want to consider selling your investments and holding cash.

Why? Cash is king. You want to see everything tank so you can get back into the market.

3. When you are ready to take your investing to the next level.

I have a large portfolio of single-family homes. The portfolio is doing well but I have started to liquidate it. It’s because I am moving up to the next level in investing.

I’ve done a lot of real estate deals. I have done more than 500 real estate transactions (mostly single-family homes) and I am now exploring multifamily. I bought a 6-unit property, am in the process to buy a 10-unit and who knows what else may happen. I’m going to need the liquid capital in order to buy multifamily properties because that is where I want my business and my entrepreneurial ventures to go.

If you have a portfolio that is producing money and you are happy with it, there’s no reason to sell it. Continue to enjoy your lifestyle and do great things.

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