What to do if you've bought a wrong property?

For many, buying a property is a lifetime decision that entails one’s entire savings on that investment and a lifelong financial commitment that often make up the bulk of their expenditure.

But what if you realise the decision to be wrong after buying the property and suffering from the circumstances stated below?

1. You overshot your budget

You have overlooked expenses such as maintenance charges, fire insurance, property taxes and utility bills after acquiring the property and now you are having trouble paying them.

You are not sure how much longer you’re going to be able to make those payments and your financial future is at risk.

2. Bad neighbours

You never knew that your neighbour is actually causing a lot of nuisances before moving into the neighbourhood. 

They are making noises during wee hours, doing open-air burning frequently, causing hygiene and mosquito problems with uncovered buckets in their yard – all these have badly affected your quality of life.

3. The location is a disaster 

You found out that the property’s location actually lengthened your travel time to workplace by an hour due to the peak hour congestion, making your daily commute an absolute nightmare.

Or you realise that there isn’t sufficient crowd to sustain your business in the property during weekdays.

Hence, you are starting to feel remorse over the decision, but what can you do about it?

Here are a few options that could get you out of the situation:

1. Always try and find a solution to the problem(s) first

If your neighbour is the problem, try to communicate with them in a friendly manner and work out a solution. Worst comes to worst you can file a report with the police on their behavior if they refuse to play ball.

You may need to take an honest look at your budget if you are having financial trouble on making payments for the property. Get clear on where your money is going and look for the areas where you can trim down your expenses.

Last but not least, if it is a location issue, you can wake up earlier in the morning to beat the traffic, or explore alternatives for commuting. For those who are running business in the property, they can try advertise online or carry out promotional activity to pull in crowds.

2. Rent it out

If all your attempts do not work out but you are still inclined to owning the property, you can consider leasing it out. 

Under certain circumstances, property like this will turn out as a good investment if it has been renovated and fully-furnished, which makes it more appealing to renters.

And with the right strategy such as leasing the property out partially (by rooms or floors), you have a chance of getting rental income that is more than enough to cover the monthly instalment while giving you extra income every month.

3. Sell it off 

If you have no intention of keeping the property and want to relocate, then selling may be the better option.

And if you do decide to sell the property, it is essential to go with a professional agent who will get you the max value for the deal and find you a buyer in the shortest time possible.

With the help of a professional agent, you may even be making some gains from the disposal with their extensive network of buyers.

Nevertheless, it is advised that buyers should do a thorough research about the location, neighbourhood and the property and consult professionals before making the lifetime investment.