The good news is: Current trends in equity loans and refinancing have made it much easier to realize cash from real estate investments. When you need it.
Typically in the past, funds tied up in real estate created “house poor” or “cash poor” investors who, when confronted with sudden needs for more liquid assets, found themselves strapped for funds. When an emergency, an illness, or an unexpected college bill came across the threshold, they could not readily turn to their investment properties for a reasonably quick solution.
Today, a portfolio of properties allows for selective refinancing without extinguishing the investment base.
Sale of a property is never encouraged, as the equity you have been accruing comes to an end when the property is sold. After all, you initially invested in the property to enjoy its long-term increase in value. Sale is also subject to the time it takes to market the property, to find a buyer and to close the deal.
Talk to us at Condoideas about planning ahead for a flexible real estate portfolio.