Should we hold or sell the block

Hello All,

Purchased block for almost 150K a few years ago and is valued over 300K.

We have literally maxed our borrowing capacity at this point in time with a few other IPs and have no buffer if anything was to happen.

Question - should we sell the block and keep the net cash after taxes as a cash buffer given the environment and news going around.

Or should we keep the block as is with the hope that the block may go up in value?

Block is in Ballarat Victoria

 

If it's returning $0 to your income but contributing to the debt, you have no interest or capacity to develop it, there's sufficient demand for a sale then it's something that you could consider.

A sale will free up $ (even allowing for CGT) which you could use for further purchases or paying down debt/offset.

 

This hits the nail on the head. But to add, I think it also depends on your risk tolerance. If you don't mind holding multiple IPs with no buffer then you may be more inclined to hold the block. However, if you are concerned about having no buffer then it may be wise to offload the land and cash in on the CG you have seen so far.