{"id":95121,"date":"2019-10-20T12:00:41","date_gmt":"2019-10-20T18:00:41","guid":{"rendered":"https:\/\/www.biggerpockets.com\/renewsblog\/?p=95121"},"modified":"2024-02-20T15:56:38","modified_gmt":"2024-02-20T22:56:38","slug":"dont-sell-unless","status":"publish","type":"post","link":"https:\/\/www.biggerpockets.com\/blog\/dont-sell-unless","title":{"rendered":"You Should Never Sell Off Your Real Estate Portfolio, Unless&#8230;"},"content":{"rendered":"<p>I absolutely love this quote: \u201cThe best time to buy real estate is now, and the best time to sell it is never.\u201d<\/p>\n<p>There are probably a lot of folks out there who have spent five, 10, or 15 years building up these large single family home portfolios. You\u2019re doing really well, you\u2019re living the life, you\u2019ve got <a href=\"\/renewsblog\/2013\/01\/04\/how-to-rent-your-house\/\" target=\"_blank\" rel=\"noopener noreferrer\">passive income coming in every single month<\/a>, and you\u2019ve probably seen quite a bit of capital growth in your portfolio.<\/p>\n<p>There is no real reason why you should sell. Because at the end of the day, your property portfolio is producing your income, and you are living the life that you desire. Still, I think there are few instances where you should consider selling off your portfolio.<\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/YLxbQCwgIps\" width=\"560\" height=\"315\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><br \/>\n<em><br \/>\n<strong>Related:<\/strong> <a href=\"\/renewsblog\/selling-investment-property\/\" target=\"_blank\" rel=\"noopener noreferrer\">How to Boost Profits (&amp; Reduce Hassle) When Selling Your Investment Property<\/a><\/em><\/p>\n<h2>3 Instances When You Should Consider Liquidating Your Real Estate<\/h2>\n<h3>1. When a life emergency happens.<\/h3>\n<p>If, for whatever reason, there is some kind of emergency that happens within your family, then that is a good time to potentially look at liquidating some properties. Reason being? You will probably have to cover some unexpected costs.<\/p>\n<p>Personally, I think you should have a buffer in place at any given moment just in case something unexpected like that happens, so it doesn\u2019t affect your property portfolio. However, it is still something that you should keep in mind because you never know what\u2019s going to happen tomorrow.<\/p>\n<h3>2. When the market starts to shift dangerously.<\/h3>\n<p>We all saw the bust of 2008. I think at that time, things were completely out of hand. Everyone was talking about investing in real estate. You had cab drivers owning five properties. When this type of thing happens, there is most likely some sort of bubble. So, if you kind of get a sense of the market leaning that way, I think you should consider liquidating out of your portfolio and sitting on cash.<\/p>\n<p>Why? Because cash is king. You want everything to tank, and then you can jump back in.<\/p>\n<h3>3. When you&#8217;re ready to move to the next investing level.<\/h3>\n<p>I\u2019ve built up a very large single family home portfolio. It\u2019s doing well, but I\u2019ve slowly started liquidating out of it. The only reason for that is I am starting to go to the next level of investing.<\/p>\n<p>I\u2019ve been around the block. I\u2019ve done over 500 real estate deals (predominantly single family homes), and now I\u2019m starting to explore <a href=\"\/renewsblog\/2013\/04\/09\/how-to-buy-a-small-multifamily-property\/\" target=\"_blank\" rel=\"noopener noreferrer\">multifamily<\/a>. I just bought a six-unit, I\u2019m in the process of buying a 10-unit, and who knows where else I may end up. So, I need that liquid capital to continue buying multifamily properties, because I believe that is the next level for me, my business, and all of my entrepreneurial endeavors.<\/p>\n<p>At the end of the day, knowing <a href=\"https:\/\/www.biggerpockets.com\/blog\/signs-when-to-sell-investment-property\" target=\"_blank\" rel=\"noopener\">when to sell your investment property<\/a> depends on your unique circumstances. If you\u2019ve got a solid portfolio and it\u2019s producing you money, I really don\u2019t see any reason why you should sell out of it. Keep the cash flow coming in, keep enjoying your lifestyle, and keep doing great things.<\/p>\n<p><a href=\"https:\/\/www.biggerpockets.com\/webinars?utm_source=renewsblog\" target=\"_blank\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-91217\" src=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2017\/08\/blog_ads-01.jpg\" alt=\"\" width=\"700\" height=\"85\" title=\"\" srcset=\"https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2017\/08\/blog_ads-01.jpg 700w, https:\/\/www.biggerpockets.com\/blog\/wp-content\/uploads\/2017\/08\/blog_ads-01-300x36.jpg 300w\" sizes=\"auto, (max-width: 700px) 100vw, 700px\" \/><\/a><\/p>\n<p><em>What do you think?<\/em><\/p>\n<p><strong>Any questions, comments or suggestions comment below.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>For the most part, there is no real reason why you should sell your performing portfolio. Still, a few instances might motivate you to unload properties.<\/p>\n","protected":false},"author":1672,"featured_media":116476,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7391],"tags":[],"class_list":["post-95121","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-exiting"],"acf":[],"comment_count":0,"_links":{"self":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/95121","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/users\/1672"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/comments?post=95121"}],"version-history":[{"count":0,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/95121\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media\/116476"}],"wp:attachment":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media?parent=95121"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/categories?post=95121"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/tags?post=95121"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}