You spend years building your property portfolio, but have you ever stopped to think about your endgame? In today’s episode, Rob & Rob are talking exit strategies, walking you through a typical investor scenario and exploring the different options you can take when it comes time to cash in, scale down, or pass it on.
- (0:55) News story of the week.
- (3:14) What’s your property endgame?
- (4:12) A typical investor scenario and exit options…
- (5:55) Option 1: Keep all the properties.
- (7:45) Option 2: What happens if you sell everything?
- (9:20) Option 3: What if you pay off all the debt?
- (11:05) The more advanced options…
- (18:25) What would Rob & Rob do?
- (23:40) Hub Extra.
Links mentioned:
The scenario:
You’re hitting retirement age with a £3 million portfolio and £1 million of debt. Your properties have doubled in value since you bought them, and your leverage has halved. For simplicity, let’s say that’s 10 properties at £300K each.
You’re generating pre-tax:
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£210K income (7% yield)
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£50K mortgage costs (5% rate)
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£42K other costs (20%)
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£118K profit
Enjoy the show?
