"ULTIMATE GUIDE 2020" - Sell My Property Portfolio - Learn 6 ways to sell your property portfolio - that all work - in 2020 - - - - -

sell my property portfolio

 portfolio selling guide 2020 

ways to ​sell your property portfolio

selling your portfolio - introduction

If you're somebody who's thinking "I Want To Sell My Property Portfolio"? But you're not too sure how best to go about it - then this ​Portfolio Selling Guide ​can really help.

"This guide will show you SIX Different Ways To Sell Your Property Portfolio"

Selling methods range from: Instructing an agent to do all the selling work for you - where you'll pay hefty fees for the privilege​.

​Through to: ​Selling your portfolio by your own endeavours - with minimal costs​ but with a much higher demand on your selling skills and time.

why read this guide?

  • PORTFOLIO SELLING GUIDE - Covers SIX Different Ways To Sell Your property Portfolio with all the pros and cons
  • WHO IS THIS GUIDE FOR? - This guide is for anyone who has a UK based property portfolio and is thinking about selling
  • WHY IS THIS IMPORTANT? - This knowledge will allow you to Choose The Best Way To Sell Your Portfolio for maximum price whilst paying minimum tax

The merits of each selling method

There are merits to all SIX methods of selling - and the method that's perfect for you will in some way depend on a number of factors such as:

  • The size of your portfolio?
  • ​Your potential profits - leading to ​a high Capital Gains Tax bill?
  • Whether any of your properties are in Negative Equity?
  • Whether you need to sell quickly?
  • How much spare time you have?
  • How good you are at marketing for buyers?

​the best way to ​follow this guide?

  • To get an overview of all SIX selling methods - read this guide from start to finish. That way you can compare and contrast the different ways to sell.
  • to learn more about ​each method - click where it says "LEARN MORE - CLICK HERE​". You'll then be taken to each individual guides for ​in-depth ​information.

Property Portfolio Sales

selling a property portfolio headers

1) Sell to property portfolio sales

introduction

Property Portfolio Sales Are A Specialist Property Portfolio Buying Company based in Lymm, Cheshire UK. With over 15 years experience buying property portfolios throughout the UK.

bespoke portfolio buying solution

Because every portfolio is so unique and different - Property Portfolio Sales can provide you with a "Bespoke Portfolio Buying Solution". Meaning 100% flexibility for you.

For example - if the sale of your entire portfolio would trigger a large Capital Gains Tax bill - then you can sell instead over a controlled period of time - so slashing your tax bill. And if you need to sell very quickly in one hit - then your portfolio can be purchased for cash.

​selling Overview

​Selling Fees

Experience

Flexibility

​portfolios with challenges

If your portfolio ​has any ongoing ​challenges such as - negative equity - tenant problems - poor stock - rental arrears - commercial elements (shops - HMO) - etc - you can still sell to Property Portfolio Sales.

In fact it's quite normal for ​Property Portfolio Sales to purchase portfolios ​with ​challenges - because ​all portfolios ​contain ​issues of one ​form or another.

fees

No fees to pay ​and unlimited consultation time GUARANTEE.

​Pros

  • Any Portfolio Purchased
  • ​No Selling Fees​
  • ​Buying Decision In 48 Hours
  • ​Capital Gains Tax Strategies​
  • Negative Equity Purchases
  • Commercial ​elements OK

cons

  • ​Not A multi-branch company
  • ​smaller in-house Team
  • ​prioritise quality Over Quantity
  • ​Structured sales
  • ​maintain own portfolio
  • ​advise against selling all properties together

​property portfolio sales

To learn more about "selling your property portfolio to property portfolio sales" - Click Below

​Auction House

auctioning a house header

​2) Selling via an ​auction house

introduction

Take a look through the auction catalogues and websites of property auction houses and you'll see property portfolios for sale alongside individual properties. So selling via an auction can definitely work for you.

Housing auctions have become very popular these days - largely due to UK TV programs such as “Homes Under The Hammer” where the auctioning process seems so simple - maybe too simple?

properties that sell at auction

A property auction is a place for buying and selling many different types of properties such as:

  1. Houses and Flats.
  2. Commercial Premises - pubs and clubs, hotels etc.
  3. Commercial Property Businesses
  4. Land for Development.

Your property portfolio falls firmly into Category 3 above - "Commercial Property Businesses".

​That's because your property portfolio is an income generating machine in its own right - just like any other income generating business.

​selling Overview

​Selling Fees

Experience

Flexibility

sell in 6 - 10 weeks

The entire auctioning process can be as quick as 6 - 10 weeks. This time period includes a month prior to the auction and a month afterwards.

And one of the key advantages of selling your portfolio at auction is that as soon as the auctioneers gavel drops - this signifies the sale of your portfolio and there's no going back.

So you the seller then have certainty of sale - but only if the auction house actually finds you a buyer.

fees

Our research suggests you'll be paying around 2.5% of sale price + up to £1,300 in legal fees per property.

Though you may be able to negotiate a discount depending on the size of your portfolio.

​Pros

  • Multiple bidders
  • ​Sell prior - ​during - after auction
  • ​Buyers with pre-arranged finance
  • Exchange ​as hammer falls
  • ​Receive money within a month
  • Sell in 6-10 weeks

cons

  • ​High selling fees
  • ​Buyers Demanding discounts
  • ​High Capital Gains Tax to pay
  • ​No negative equity purchases
  • ​No guarantee of selling
  • Auctions are a bit of a gamble

​auction house

To learn more about "selling your property portfolio via an Auction House" - Click Below

Business Broker

residential property portfolios for sale header

​3) Selling via a ​business broker

introduction

You may be thinking that business brokers only sell commercial asset types such as office blocks, factories, warehouses, shops, public houses, hotels etc.

However it's quite normal that business brokers will also Advertise Residential Property Portfolios For Sale.

You've probably worked with local estate agents in the past when buying or selling a residential property. So you can think of a business broker as an estate agent for businesses rather than for homes.

​selling Overview

​Selling Fees

Experience

Flexibility

Your portfolio is a business

Business brokers are skilled professionals who are there to help people buy and sell businesses. And because your property portfolio generates an income from rent - ​you can ​consider it as a business and not just a collection of houses anymore.

I'm sure you'll agree that the prospect of selling an entire property portfolio represents a far bigger challenge than selling just a single residential property. It probably won't be so easy for you to sell your portfolio as individual houses anymore to owner occupiers.

Not without a lot of hard work splitting the portfolio up and selling each property individually. Though this is of course possible if you have the time and skills available.

Money over emotion

Potential buyers for your portfolio will undoubtedly have money as the key driver rather than emotion. Potential buyers are far more likely to be interested in Return On Investment and Capital Appreciation - rather than what colour the curtains are and how nice the bathroom is.

  1. Return On Investment (ROI) - Here we're referring to how much return an investor will get back for the money they have invested? For example an Investment of £1,000,000 that gives an 8% ROI will Return a profit of £80,000 per annum.
  2. Capital Appreciation - Here we're referring to the likelihood of property prices increasing over the period of time an investor owns the property? For example a property that is purchased for £100,000 and is then sold for £200,000, 10 years later - will have a 2 X Capital Appreciation.

There are many business brokers who sell established property businesses including property portfolios. ​And they can all be found online via their comprehensive websites.

Some examples are Daltons, ASG Commercial, Blacks Business Brokers, and many more besides.

fees

Our research suggests you'll be paying around 10% of the actual sale price as the business broker's commission.

​Pros

  • portfolios sales experience
  • Existing Buyer contacts
  • ​contacts - solicitors​, brokers etc
  • ​portfolio valuations
  • take enquiries and viewings
  • ​leave ​the ​details to them.

cons

  • ​High selling fees
  • ​Buyers Demanding discounts
  • ​High Capital Gains Tax to pay
  • ​No negative equity purchases
  • ​No marginal profit portfolios​
  • ​​one of many clients

​business broker

To learn more about "selling your property portfolio via a business broker" - Click Below

Sell Portfolio Yourself

​4) Sell your portfolio ​by selling it yourself

introduction

Selling your property portfolio without using a high street estate agent is now so much easier and affordable than ever before. That's because in these days of the internet - there's never been so many options available for you to sell - without ever needing the help of your local estate agent.

Go back just a few short years - before the internet - and you'd struggle to sell any property without using a high street estate agent.

That's because it used to be impossible to market your portfolio to prospective buyers in your local area. Let alone try to market your portfolio to investors based in other parts of the UK - or other parts of the world.

But thanks to the internet that's all changed.

​selling Overview

​Selling Fees

Experience

Flexibility

2 approaches to selling

There are 2 approaches to selling the properties in your portfolio by your own endeavours.

  1. Online DIY - You can advertise via an online estate agent such as Visum - but perform all of the estate agent work yourself. What you're getting from this type of online estate agent is access to advertise on house selling websites such as Rightmove, Prime Location, Zoopla etc.
  2. Online Estate Agent - Here you can advertise via an online estate agent - but let the estate agent do all the estate agent work for you. So to all intents and purposes this is the same as using a high street estate agent, but a less expensive online version. Some very well known online estate agents are Housesimple, Purplebricks, Yopa (there's many more).

Selling your entire portfolio is the same as selling an individual house or flat except you'll need to repeat the process multiple times over - depending on the number of properties in your portfolio.

So we'd probably advise that this is only possible if your portfolio isn't too large.

3 potential buyers

Because your portfolio is a rental portfolio ie it has tenants and is income producing - you'll need to think about who might want to buy your properties from you.

Our advice here would be to analyse the 3 potential markets you can sell to - which are:

  1. Investors - Here you're looking to sell your rental properties to fellow investors who want to continue renting out after they've purchased from you​.
  2. Owner-occupiers - Here you're looking to sell your rental properties to owner occupiers. So that will mean (at some stage) evicting the tenants who are currently renting to​.
  3. ​Existing tenants - ​Here you're looking to sell your rental properties to existing tenants. It's possible that a number of your tenants enjoy living where they are and will want to buy?

You need to do some research as to which of the above markets you're wanting to sell to - Investors - Owner Occupiers - Existing Tenants?

​Ideally you can sell to a combination of all 3 markets?

fees

Because you'll be selling your portfolio by doing most of the work yourself - you'll only be paying a few ​thousand pounds for online marketing access.

So this is a much cheaper method of selling than via estate agents, business brokers, auction house, online property buyer - but will cost you more in time.

​Pros

  • Minimal costs
  • manage Capital Gains Tax
  • ​works for smaller portfolios
  • ​Not reliant on others​
  • ​Internet now makes ​this possible​
  • ​Learn "how to" in our guide

cons

  • ​​high demand on your time
  • Enquiries and viewings
  • ​Not for larger portfolios​
  • ​Creative ​options unlikely
  • ​potentially Stressful
  • marketing knowledge​ an advantage

​sell portfolio yourself

To learn more about "selling your property portfolio by selling it yourself" - Click Below

Estate Agent

sell a tenanted property portfolio header

​5) Selling via an ​estate agent

introduction

You probably spent a good deal of time getting to know estate agents - when you first put your portfolio together. And possibly you're still on good terms with one or two of them - now it's come time for you to sell?

So it's definitely worth visiting a few of these agents again (including your favourites) - and asking whether they'd be able to sell your entire property portfolio.

Always keep in mind that the standard model of estate agents is to sell individual houses for home-owners and investors. And they don't usually get involved with selling entire property portfolios.

​selling Overview

​Selling Fees

Experience

Flexibility

estate agents understand property

  • Estate agents understand about selling properties - because that's what they do - day in day out.
  • Estate agents have connections with lots of property people. So they might already know the perfect buyer for your portfolio - in their little black book of contacts.

And estate agents may be part of a bigger chain and have in-house expertise of selling property portfolios. So they may be able to sell your portfolio to multiple buyers ie split your portfolio to match different buyer needs.

does size really matter?

Selling via an estate agent is probably going to work best if your portfolio is broadly in line with the following:

  • A smaller property portfolio with let's say a maximum of 5 - 7 properties. Possibly more if your estate agent has a particular specialty at selling​ portfolios.
  • A property portfolio where the individual houses are geographically close together. So they can be handled by a single estate agent.

Unfortunately - ​not all estate agents are created equally. So you need to select your agent very carefully and not rush into instructing the first one you speak to.

They need to be able to demonstrate to you a past level of experience at selling entire property portfolios

​estate agent selling fees

Please also bear in mind that estate agents work on the sales commission they charge to sellers (not buyers). So it could work out very expensive to sell your entire portfolio via an estate agent.

However you might be able to negotiate some sort of discount on their standard fees? Due to the large number of properties you'll be selling with them.

And you really need to understand - your exposure to Capital Gains Tax - when selling a number of properties over a relatively short period of time. Your accountant / Independent Financial Advisor will always be able to advise you further with this.

fees

Our research indicates a typical fee of £1,000 per property, though some still charge by a % of selling price.

All estate agents charge a sales commission for selling properties. However these commissions have reduced over the last few years - mainly due to increased competition from online estate agents who have lower overheads - and charge lower fees.

​Pros

  • Property knowledge
  • ​local market knowledge​
  • ​existing buyer contacts
  • ​Marketing expertise
  • ​take enquiries and viewings
  • ​provide valuations

cons

  • High selling fees
  • ​Buyers Demanding discounts
  • ​High Capital Gains Tax to pay
  • ​inexperienced with portfolios​​
  • ​No negative equity purchases
  • ​No marginal profit portfolios​

​estate agent

To learn more about "selling your property portfolio via an estate agent" - Click Below

Online Property Buyer

companies that buy houses heads

​6) Sell to an ​online property buying company

introduction

Online property buying companies have increased in numbers over the last few years – largely due to the popularity of search engines such as Google, Bing and the internet at large.

These "We Buy Any House" Type Companies Can Buy Houses Very Quickly And For Cash.

So you may be wondering whether these companies are also capable of buying your entire property portfolio from you?

​selling Overview

​Selling Fees

Experience

Flexibility

is a quick house sale company right for you?

That's a question only you can answer. And your answer will largely be based on your need to sell quickly versus the amount of money you need to achieve.

Normally when someone who isn't under any time-pressure is asked the question: "how much do you want from the sale of your property" their answer is: "I'd like full price please".

However there are many circumstances - where getting SOME MONEY QUICKLY is more important than getting FULL MONEY SLOWLY - and it may be that a quick house sale company is the right choice for you here.

situations for a quick house sale

There are quite a few situations where it's desirable - or even downright necessary - to sell property(ies) quickly - for example:

  1. When money from a property sale is needed to pay off urgent debts.
  2. Where money is needed to inject into a business.
  3. When you've just been offered your dream job abroad - and need to sell quickly.
  4. When a property portfolio has been inherited (along with all the hard work involved) and it's costing money to keep going​.
  5. Where an owner becomes ill - and the burden becomes too great.
  6. And many more reasons...

So if you're someone who needs (or wants) to sell quickly? And you're not too concerned about the price? Then you might want to consider this selling route.

​can companies that buy houses buy entire portfolios?

Well the simple answer to the question "can companies that buy houses buy my entire property portfolio from me" is YES - so this is a selling route you can consider.

HOWEVER THE BIG TRADE OFF for selling a portfolio (or even just a single property) via one of these "sell house fast" companies is that they won't be paying anywhere near the full market value of your portfolio.

In fact they'll only be paying around 75% of what your portfolio is worth.

  • So let's say an individual house in your portfolio is worth £200K.
  • And let's say the house buying company will only be paying you 75% of this price.
  • That's a purchase price of £150K for a property that's actually worth £200K.

However they will usually pay all of your selling fees for you - such as solicitors and valuers etc. And you'll save on any estate agent fees - as there won't be any to pay.

fees

Our research suggests you'll be giving a fast house buying company a 25% discount on the price of your portfolio.

​However all of your selling fees should be payed out of this 25% discount - though please check.

​Pros

  • ​sell very quickly
  • property knowledge
  • ​viewings not necessary​
  • ​no selling chains​
  • ​no for sale signs​
  • ​easy option - leave to someone else​

cons

  • High selling ​Fees 25%
  • ​high capital gains tax to pay​
  • No negative equity purchases
  • No marginal profit portfolios
  • ​inexperience with portfolios
  • Could easily end up not selling

​online property buyer

To learn more about "selling your property portfolio to an online property buying company" - Click Below

Sell My Property Portfolio

sell my property portfolio conclusions

Sell my property portfolio

conclusions

Within this guide you've learned about SIX different ways to sell your property portfolio. And you've discovered that the different ways of selling all have their unique strengths and weaknesses.

So the selling method that's perfect for you will firmly depend on your current situation - and to some extent on your time-scales and priorities.

  • For example somebody who's just inherited a 6 property portfolio will have very different needs from a long-term professional landlord with 250 properties to sell.
  • And someone who's in no rush to sell and wants the best possible price - will have completely different needs to a person with a failing business - who needs to sell quickly to save the family home from repossession.

I'm sure you'll agree - there isn't a "one size fits all" approach here.

property portfolio sales

Property Portfolio Sales can offer you a bespoke Portfolio Buying Solution ​that's one of the most flexible ways for you to sell your property portfolio.

​3 key advantages of selling to Property Portfolio Sales are:

  • No selling fees
  • No selling discounts
  • Less Capital Gains Tax to pay

If you'd like a chat (Portfolio Consultation) - or anything else - then please get in touch.

Kind regards

property portflio sales phil calladine

Phil Calladine - proprietor & consultant

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Phil Calladine
 

"Hi there - I'm Phil Calladine - living in Lymm in Cheshire, UK. I have a wealth of property knowledge - and I'm sharing it with you here on this website. I'm also a member of the NRLA. Please don't hesitate to contact me with any questions about selling your property portfolio"

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