Selling Second Homes or Buy-to-Let Property
Owning a second home, perhaps a weekend place or a pied-a-terre for late nights working in London became popular after 2000. Affordability backed by good mortgage deals drove the second home market. At the same time, cheap buy-to-let mortgages allowed private investors to get on the investment property ladder and become landlords. Every so often, due to personal circumstances changing, it’s time to sell these properties.
Let’s also view this in a strategic sense: has the capital value of the property risen so much it would benefit you to sell now? Would you prefer a lump sum in the bank and paying off outstanding mortgage debt rather than a small yield each year? Do you think property prices have run their course in your area and perhaps wish to sell up and re-invest in up and coming areas? Cashing in or redeploying your equity should be options you review once a year. Sitting on investment/ extra property until you need to sell isn’t the right strategy (look at those who wanted to sell shares when they were retiring, just after the markets had crashed). An investment needs to be bought at the right price and sold at the right Time!