Is it a good idea to wait before selling a property? This is often a big question of many property owners new and old. Navigating the real estate housing market can be quite tricky. With many external and economic factors into play, affecting the market. However, the key to knowing when to hold or sell would have more to do with personal factors. Here’s everything one needs to know about the right time to sell a property.
The real estate market
Real estate as an asset. It is often seen as more stable than investment options such as stocks, which tend to be volatile. Market correction in real estate prices is quite rare.
You should sell if — The area of the property is seeing infrastructure developments
Seeing surrounding areas near the property get major infrastructure or other commercial developments is a good sign. The price of properties in that area will rise. Development encourages more development, so having a property in the vicinity can be a hot item for potential investors and developers looking to join on the developments. This immediately means that the property is already valued more than when it was first bought —giving owners an immediate gain.
You should sell if — The owner does not have the capacity or interest to develop the property
It can be quite exciting seeing the surrounding area get more commercialized. However, if the owner does not have any desire or capability to further develop the property, then it is just better to sell. Developing a property requires a huge amount of capital and will be time-consuming, so owners who cannot dedicate resources and investment may find more success in selling their property instead.
You should sell if — Liquidity is important
Real estate properties are not the most liquid of assets out there. If extra cash is needed for the owner’s personal or business purposes, then there is no point in holding a property any longer. This has been true for cash-strapped businesses during the pandemic. Looking for the right seller can be a difficult task and could take months given many factors such as the market and seasonality, so it is important that an expert in asset disposition is immediately brought on board.
Get the right timing
So when is the best time to sell? Property owners should not be so dependent on the real estate market. Only the property owner can tell for sure when the right time is for themselves, based on their personal circumstances.
For new sellers, it can be quite difficult trying to work your way into the real estate market. Get real estate consultancy from a renowned real estate services firm such as Santos Knight Frank. With years of experience doing real estate research, valuation, advisory, consultancy, brokerage, and more, Santos Knight Frank is the Philippines’ first and largest fully integrated real estate services provider, with clients that include multinational corporations, institutional investors, occupiers, owners, and developers of real estate locally and across the globe. Learn more by visiting their official website at https://santosknightfrank.com/.