Depending on the plan you have for your investment property (to rent or renovate and flip) there will come a time when you may think ‘if I sell now, will I get a good profit?’ Of course it isn't a decision to make lightly - but it is one that will obviously arise at some stage. 

So if you have had that thought recently, here are some questions you need to ask yourself in order to work out whether it is the right time to sell your investment property.

Have your goals changed?

The first thing you need to do is look back on the goals you made when you first got into property investment. If you are still on the right path to achieving them, then is it necessary to make any changes? It is important to stay focused on why you got into investing in property, as this will help guide your decisions.

Are you letting the market influence you?

Perhaps you have heard that the market is at its peak? Or that things are slowing, and that expert investors are getting out of property now. Whatever the case, you shouldn’t let the market influence your choices, well, not until you have done your proper research anyway.

Again, you need to consider what your own goals are, and if it is to hold onto a rental property for the next 10 to 20 years, then you probably don’t need to panic about selling up just because there is a dip in the market.

What will you do with the money?

If you decide to sell, what are your plans for the money? Depending on the location, and how long you have owned the property for, it is likely you would have earned some capital gains, as well as a certain amount of equity. There is no point in getting out just to have the money sit in the bank, or to waste on everyday expenses.

If you don’t have any plans for the funds, then have a serious think about whether it is worth wasting all the time and energy you have put into the property by simply selling up for no reason. Of course this will also depend on what your initial goals of investment were.  

Is there potential for a loss?

If you have the potential to experience a loss when selling your property, then it is probably not a good idea to put it on the market. Not unless you have a really urgent need to do so.

So make sure you have a chat to your accountant who can help you work out the numbers, before you make any hasty decisions.

Read more: The most common property investment mistakes made by first-timers 

What if you don’t get any offers?

What will you do if you don’t get any offers on the property? And how long would you keep it on the market for if there is not a lot of interest? Believe it or not, selling your home can actually cost you money (marketing, the loss of a good tenant, doing renovations) and if you are unable to get the right offer, then you could just be wasting time and precious income. This is why deciding to sell should be carefully weighed up, depending on your reasons to do so.

If after asking yourself all of the above questions, you have come to the conclusion that it is a good time to move on from your rental property, then the next step is to get in touch with an experienced, reputable real estate agent who can help you get the best price for your investment.

But if you are holding onto it for now - why not check out our free guide below, on how to avoid risky tenants.