Shall I sell or rent

supa34

Hi.

I have recently purchased 4 block of houses at an auction. The rental return will be around 8% after doing it up. Or I can sell it with 20% profit.

Of course it's early days and it hasn't been renovated yet but if we go with thrm figures, would you let the property and keep it or let it out and sell it.

We can assume good tenants.

Its just property will be under company and accountant asked the question In email if I'm renting or turning the property. Never thought of it like that, is it profitable turning properties?

Finchy2018

Did you buy them without a plan?

I don't think you can assume good tenants. Anyone could lose their job regardless of how good they are.

supa34

I got them to rent out. Two currently have Tenants and two are empty.

I know they will be people Coming and going until you get stability. My other houses have had tenant for over 5 years and one house over 10 years.

Rent I like to keep just over council limit so if they loose job can claim from council until they find something else.

I notice alot of people on here have a plan and very cautious. Last time I had my head bitten off by strangers for going Into things without a plan. However I have done well in life, by not sitting on the fence and waiting for a safe bet, but by going out and doing things.

tacpot12

I would think about flipping one or two of the properties and use the profit to buy in another location. Having four houses in the same street seems a little risky, say if the local economy dips or anti-social behaviour becomes a problem. Renovating four properties is harder than renovating two, but then you don't get the same economies of scale...