You’re probably a buy-and-hold investor, right?
You know all the clichés about “time in the market, not timing the market”, and you understand that selling too soon can prevent you from maximising your profits. That’s a perfectly sensible attitude in many cases and I would never suggest that you jump in and out of the market or sell a property that’s got great long-term prospects.
It must be said, though, that some Kiwi investors cling to their properties like barnacles to a ship – even if the ship isn’t going anywhere. Just because you’re a buy-and-hold investor, doesn’t mean you should never sell.
‘Never sell’ would be a great strategy if your aim was to be someone who owned a lot of properties. Surely, though, you have more interesting goals than that. Consider your goals and ask yourself if your properties are helping you get there as quickly as possible – if they are, keep on holding. But if your money could be working harder for you elsewhere, it might be time to think about the ‘S’ word.
Read the rest of Aaron’s colum here