Reasons Why Keeping Your Property Is Better Than Selling It
Real estate is a thriving industry but you have to be smart about it.
Investing in real estate is never a bad idea. This is one of those industries that hardly see a bad day. Moreover, real estate is usually a safe bet if you know your basics and are smart about it. That being said, moving on to new properties is appreciated, but what do you do with your old property? Do you rent it out, sell it or just keep it as it is? Whatever you do, unless you are extremely short on the money, selling your old property is the last option you should go for. Keeping an old property is a better idea than selling it for a number of reasons. Here are a few reasons why you should not sell your old property.
Brings You A Long Term Profit
Instead of selling your old property, rent it out. People are constantly on the hunt of properties on rent for professional or personal reasons. Renting out your old property instead of selling it ensures greater profit for a longer period of time. It is not a one and done deal and the money will keep flushing in every month. Again, depending on the market you can adjust your rent. When you sell your property, you have to be on the lookout for a time when the market is going good. This is something you don’t have to worry about if you are renting your property out instead of selling it.
Gives You Heaps Of Tax Benefits
Besides helping you with bringing in larger profits and equity, renting out your property also has certain tax benefits. You can rent out your old property and use it to write off expenses on the tax sheet. For example, you can write off expenses like renter’s fees, repairs, utilities, property taxes, mortgage interests and so on. These benefits are hardly available when you sell your property.
Even if you choose to not rent out your old property, you can use it as your own vacation property. Moreover, it is always good to be prepared with a backup just in case. This is not possible if you sell you old property. Keeping your old property might act as a change of scene at times and you will never have to worry about not having a roof over your head.