#1 Question asked by Landlords in 2017….here’s how to get the answer Correct

The Dichotomy of Tenants & Toilets
November 29, 2017
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#1 Question asked by Landlords in 2017….here’s how to get the answer Correct

The real estate market continues to be on a red hot tear.  Bank accounts are fat, vacancies are low, and demand is still sky high for rental units.

Fat, Low, and High.  Happy Dance times.

Three market conditions that always, always, always, lead investors and landlords down the path of asking this #1 Asked Question:

“Should I continue to rent my property or should I Sell it?”

It’s a Simple question with a sometimes Difficult answer.

Emotions come into play.  Emotions like fear, greed, regret, anxiety. 

“What if I sell it and the market goes up another 10% next year?”

“What if I keep renting it and the market goes to Hell-in-a-Handbasket?”

 

The harder answer to conjure up for most of my landlord and investor clients are the logical ones, like this all-encompassing question you should be asking:

“How do I determine, OBJECTIVELY and with FINANCIAL NUMBERS, if Selling now is best for my Financial Freedom?”

There is a FREE calculator that is one of the best I’ve found over the years that can give you an objective answer to the question of selling.  It is offered by the National Association of Residential Property Managers (NARPM), of which I’ve been a member for many years now.

Here’s the link to it: https://www.narpm.org/members/resources/rent-vs-sell-calculator/

Highly recommend you play around with it and do some “What If” scenarios….

In fact, the smart landlords and investors reading this article will bookmark the page in their browser Favorites to keep it top of mind for future use.  Finally, this is just a starting point for you to get your arms around the question of selling a property.  As always, there are other tax, financial, and legal implications for which qualified professionals including your CPA, attorney, CFP, etc should be consulted.

I’d love to hear your feedback on what you like/don’t like about this calculator.

Until next week, here’s to your Financial Freedom!

 

Dan Baldini

P.S. For those Dead Poet Society fans out there, it’s appropriate to rock this article out with a little “Frosting”…Enjoy!

Two roads diverged in a yellow wood,
And sorry I could not travel both
And be one traveler, long I stood
And looked down one as far as I could
To where it bent in the undergrowth;

Then took the other, as just as fair,
And having perhaps the better claim,
Because it was grassy and wanted wear;
Though as for that the passing there
Had worn them really about the same,

And both that morning equally lay
In leaves no step had trodden black.
Oh, I kept the first for another day!
Yet knowing how way leads on to way,
I doubted if I should ever come back.

I shall be telling this with a sigh
Somewhere ages and ages hence:
Two roads diverged in a wood, and I—
I took the one less traveled by,
And that has made all the difference.

P.S.S–I am currently accepting a limited number of new coaching clients for 2018.  If you are want to run with the big dogs instead of piddling with the puppies in 2018, check this out:  http://danbaldini.com/resources/private-client-consulting/

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