Friday, December 4, 2020 / by Ernie Arrizza
It's an easy decision. Sell the extra investment because right now its down. I've spoken with many investors and I get it. Here are some reasons why you shouldn't be selling your investment right now that you may not be considering.
Right now investment properties and rentals are at an all time low. Nobody wants to deal with those renters with all of their new regulations. Nobody. Here's the thing, you might want to think about keeping your property if you can.
Some negative reasons for not selling right now. You will have to pay capital gains on that property. You will get the lowest price possible right now. You may have some government funds you are eligible for because you are a landlord. You may be eligible for some government grants. You may able to use this property as a right off. Depending on your business structure that is doing well right now, you may be able to use this property as a loss = pay less taxes next year.
Do you sell a stock when its at its lowest? Well that's basically what you would be doing if you sold the property now. Think about how much in demand it will be in next year when the market goes bananas everywhere because people will be needing places to live.
If you can hold on to whatever investment property you have, I would right now. It's not the time to sell unless you have to. I think next year will be the year to sell it and maximize your profit.