My tenant wanted to buy my property for more money than the actual value, in this video I tell you why I did it.
I love passive income, because it is returning money every month again. But sometimes you have those deal in which a tenants wants a piece of your pie. And that happened to me, a tenant reached out to me, asking if I could sell the property to her. Now why would I want to sell off my great passive income investment to someone else?
Why do I invest in real estate properties
Before explaining why someone would want to buy my property, you’ll have to understand why I invest in properties. I love investing in stocks, as it generates a great return. But the stock market can be volatile and it has influence on my return, whereas real estate is far more stable once you get in. And it generates rental income, which is something nice next to the equity growth of the properties.
Why my tenant wants to buy my property
When you have happy tenants, as home owner you’re happy too. As these people will happily pay you rent and help you pay off your mortgage for the property. But sometimes these people become that happy, that they want to take your property from you. This lady who lived in my home was so happy in that place, that she offered anything I wanted for the property. Since I’m not a bad guy, I would absolutely agree to market value of the property.
Is it a good idea to rent or buy a home?
Now, when you are planning to buy a home, always check if you should buy the place or rent the place first. This is what this lady did as well.. Check if it was a smart move to buy or rent the apartment first. And her choice to buy it, seemed a good choice as she is planning to stay here for more than 4 years.
Should I be selling off the property?
Then, the next question for me as home owner is, is it a good idea to sell off a great investment property? When the numbers line up, yes absolutely. In this case, she was also willing to help me pay for closing costs, financial costs and public notary office costs. And that resulted in a total amount of €144,000.00 for the property.
When we have a deal of €144,000.00
And she said yes! So we made the deal, and I would receive the money for the property.
Bonus tip! How did I invest €144,000.00
Then the next question came up, what to do with the €144,000 which is not a little amount to receive. With that, we bought properties to rent out as short stay. Through airbnb and booking.Com to doctors, nurses, contractors and short holiday stay people. Making about €3000 euros per month through rental income.