There is an old saying that” don’t put all your eggs in one basket”. This saying is best suited for property portfolio as in it you an individual or business acquire multiple properties instead of owning just one property. Property portfolio management NZ can include multiple properties of different categories, for example, residential, commercial or shops etc. There are many benefits of the property portfolio and also good to cover your risk in case of any economic downfall.
- If you own a single property then you will be limited to exploit its advance. As single property means you will be getting fixed rent or price of at as per the market trend. You have to wait for the right offer before you can get any financial benefit out of it. If you sell that property and buy 2-3 smaller properties, you have a lot more cards to play. In case of one property, your investment will be stuck in it and you will not be able to manoeuvre. But when you will be owing 2-3 properties you can sell one, rent other and keep third in your hand. So you will be opening multiple financial channels that will increase your revenue
- The property portfolio can be diversified, as you can acquire different types of nice property consultants. One person can own apartments, shops, offices or warehouses, this expands your financial avenue. As you will be able to earn money by renting all these properties to different businesses or person. This will keep your finance arrive even in the recession because not all industries will be effected in recession. For example, if the housing industry is suffering you can get advantage by renting warehouse and vice versa
- Owning multiple properties will increase your equity. Property is the investment which will be increasing with time, so you will be getting raise in equity as soon as property prices go up. But you should always be patient enough to wait for the right price before selling your property and must be smart enough to capitalize your money into further properties.
Having a property portfolio is one thing and managing it is another. This is not mandatory that if you have multiple properties though you will be handling this portfolio yourself. Some professionals or firms that can do this on your part. Hiring a professional portfolio manager is more beneficial as they are the market people and due to better market intelligence, they can give you good advice about your property. Getting insights from the market will help to get maximum financial benefits from your investment. Also, the property portfolio manager has better access to property information, so they will be able to guide you about buying and selling prices of particular properties.