It is astonishing to me that so many investors talk about how man properties they own rather than how well their portfolios are performing. This kind of autopilot investing without context can be detrimental. The coming holiday season is as good as any for you to give your portfolio a much needed health check simply because sometimes in life, more is not necessary better. Here are some questions to get you started:
1. What is your overall investment goal?
Why are you investing in properties in the first place? Are you investing for cash-flow or capital gain? Are you investing for a better quality of life in five years? Ten years? Or twenty years? Without knowing clearly where you are heading any investment strategy would be haphazard at best. Reaffirming your overall financial goal can help you visualise where you are at and how your portfolio is performing for you.
2. What positive steps can you make to attain this goal?
Review your portfolio activities in the last 12 months. Have you bought any new properties? Have you added value by renovating or developing? Do you action strict rent arrear and rent increase protocols to maximise your cash return on each property? I will always remember Kesh Maharaj telling a room full of APIA investors how income from property investment is anything but passive. Truly successful investors are anything but stagnant. Consider this a performance review of yourself as and investor and work out which areas you can improve on in the coming year.
