Advanced Lesson 23 – Portfolio Management Checklist
Purpose:
Use this checklist to review, organise, and strengthen your property portfolio for long-term wealth and stability. Complete each step before making any major new purchases or refinancing decisions.
✅ Step 1: Review Your Portfolio Structure
- List every property you own or control, including creative deal structures (lease options, rent-to-rent, etc.).
- Note each property’s purchase price, current market value, and mortgage balance.
- Identify which properties are held personally and which are in limited companies or SPVs.
✅ Step 2: Analyse Financial Performance
- Record each property’s monthly rent, expenses, and net profit.
- Calculate gross yield and ROI for each property.
- Flag any properties that deliver weak cash flow or negative returns.
✅ Step 3: Check Cash Flow Health
- Confirm that rental income comfortably covers all loan repayments and running costs.
- Maintain a reserve fund equal to at least 3–6 months of expenses per property.
- Ensure tenants are paying on time and arrears procedures are up to date.
✅ Step 4: Review Financing and Equity
- Compare current interest rates with market offers — could refinancing improve returns?
- Identify any properties with strong equity that could be safely released to fund future deals.
- Flag mortgages nearing renewal for proactive review.
✅ Step 5: Assess Risk and Diversification
- Check property locations — avoid being overexposed to one area or tenant type.
- Ensure insurance policies are current and adequate for each property.
- Confirm compliance: EPCs, gas safety, fire safety, and HMO licenses (if applicable).
✅ Step 6: Evaluate Maintenance and Upgrades
- Inspect each property (or schedule inspections) to assess condition.
- Plan upgrades that increase rent or value — kitchens, bathrooms, insulation, etc.
- Set aside a maintenance budget for the next 12 months.
✅ Step 7: Update Your Portfolio Tracker
- Keep your tracker spreadsheet or management software fully updated.
- Include key data: value, rent, mortgage, yield, equity, and ROI.
- Review results quarterly and adjust your strategy accordingly.
✅ Step 8: Plan Your Next Strategic Move
- Decide which properties to hold, refinance, or sell in the next 12 months.
- Align your decisions with your long-term wealth goals and tax position.
- Schedule your next portfolio review date to stay accountable.
Final Tip:
The best investors treat their portfolios like living businesses — always reviewing, refining, and improving performance. Consistency compounds success.
