Should I sell one of my BTL's?

[Hoppy2008]

First of all, apologies for yet another property thread.

Bought 3 years ago for £119,000
Just had an offer from a cash buyer for £137,500.

I have been thinking of offloading at least one place since last year.
To all the experts on here, should I get rid, or hang in there?

Cheers

Hoppy

ETA: yeah, I know, worst "look, I have property thread" ever.

Edited by Hoppy2008 on Monday 19th January 11:57

[williamp]

Hoppy2008 said:

First of all, apologies for yet another property thread.

Bought 3 years ago for £119,000
Just had an offer from a cash buyer for £137,500.

I have been thinking of offloading at least one place since last year.
To all the experts on here, should I get rid, or hang in there?

Cheers

Hoppy

ETA: yeah, I know, worst "look, I have property thread" ever.

Edited by Hoppy2008 on Monday 19th January 11:57

where would you put the money? If you put it into a bank and it goes under, they only guarantee £35K (I think). Buy another house? Classic car?

[scotal]

williamp said:

where would you put the money? If you put it into a bank and it goes under, they only guarantee £35K (I think). Buy another house? Classic car?

£50k now.


but in reality currently unlimited.

Edited by scotal on Monday 19th January 12:02

[anonymous-user]

williamp said:

where would you put the money? If you put it into a bank and it goes under, they only guarantee £35K (I think). Buy another house? Classic car?

Nope - it's now £50K. So 3 accounts and your safe.

[Somewhatfoolish]

take the money and run!

[Mc Lovin]

Somewhatfoolish said:

take the money and run!

Pretty much.

[MrV]

Don't forget you are going to lose a chunk of that on capital gains tax.

[Nolar Dog]

For me it would depend on a few things such as how much the rental income/yield is, how good/secure the tenant is and how much I needed the money from the sale.

Why were you thinking of offloading one property anyway?

[Austin.J]

Take the money and blow it all on a really good weekend?

[snotrag]

Does it not depend a lot on -

Is there anyone in it, paying.

Will they remain, if the ygo, will it be filled again easy

How much your earning from it now,

How much you could potentially earn from it

Is it in an upcoming area, could your income increase, or could it go down...?

Surely theres a lot more to it!?

Unless of course, you just want money NOW to buy something fun.

[fido]

Cash is king, you have a buyer, sell it now - and save or squander the cash.

[scotal]

Hoppy2008 said:

I have been thinking of offloading at least one place since last year.
To all the experts on here, should I get rid, or hang in there?

How do you feel about the market local to this flat? Do you want to lock in the profit now, or are you prepared to risk that profit and see if the market improves.

[Hoppy2008]

Its let out as a 4 bed to 4 students.
It needs a bit of work at the moment, bit of damp, bit of mould, new front and back doors, tidying up, etc.
It makes me about £450 per month.
Out of my portfolio, this is the one i get most calls from; toilets broken, mould in my bedroom, boiler not working, etc.
Reason I was thinking of selling one place is so not to have too many eggs in one basket.
Thanks for all the replies.

[MattOz]

Sounds like it might not be too much of a hardship to sell it then. If the offer is a reasonable one, then I'd say move it on.

Matt

[Hoppy2008]

MattOz said:

Sounds like it might not be too much of a hardship to sell it then. If the offer is a reasonable one, then I'd say move it on.

Matt

Hi Matt,
It's certainly not unreasonable in the current market.
and there's nothing to stop be investing the money in another BTL shoud the market pick up.

Although I bought my first BTL in 2001, I am a relatively beginner compared with others on here, and I have never sold an investment property so posted on here for thoughts of those that have done so.
Cheers all,
Hoppy

[MikeyT]

Get rid. At a profit. Put in bank. Wait for property to bo down further. Buy back similar property for less money.

Why are you waiting?

[Hoppy2008]

MikeyT said:

Get rid. At a profit. Put in bank. Wait for property to bo down further. Buy back similar property for less money.

Why are you waiting?

Hello Mikey,

This is what I'm thinking at the moment. Cash buyer as well so less fluffing about.
I guess I was waiting for someone here to turn up with their Crystall Ball to give me the definite answer.

[liner33]

Sounds like its a bit of a hassle , might be easier to put the money into another property perhaps a new build for a professional couple , much less stress

[Hoppy2008]

liner33 said:

Sounds like its a bit of a hassle , might be easier to put the money into another property perhaps a new build for a professional couple , much less stress

Exactly. Im in this market too.
I dont hear a single word from the tenants, they have full NHBC, and, if bought in the right area, can be nice little earners!

[dirty boy]

As mentioned, you may have a capital gain on sale.

If you sell before 5th April, you capital gain exemption is £9,200 (rising to £9,600 afterwards).

If it's in joint names you'll have sod all to pay. Your accountant should advise you though, and you may already have 'improvements' etc that increase the base cost reducing your gain.